Aug 5 (Reuters) - Australia's largest telecom company
Telstra Corp said on Wednesday it will sell its Clayton
data centre facility in Melbourne to property firm Centuria
Industrial REIT for A$416.7 million ($298.4 million).
The facility, to be sold by the end of August, has 10
buildings including Telstra's latest 6.1 megawatt data centre.
Chief Executive Andrew Penn said the company had now sold
more than A$1.5 billion worth of assets as part of a strategy
announced in 2018 to strengthen its balance sheet.
However, the telecom firm will retain ownership of all IT
and telecom equipment at Clayton and be responsible for building
upgrades, repairs and future capex requirements as part of a
triple-net lease-back arrangement with New South Wales-based
Shares of Centuria went into a trading halt on Wednesday as
the company is expected to announce a capital raise to finance
the purchase of the data centre.
The lease is for an initial 30-year period with two 10-year
options for extensions, Melbourne-based Telstra said.
Telstra is set to report its full-year results on Aug. 13.
($1 = 1.3966 Australian dollars)
(Reporting by A K Pranav in Bengaluru, Editing by Sherry