Macquarie Remains Bullish on AI, Data Centers After $40B Sale

Macquarie's sale of Aligned Data Centers for $40 billion has sparked questions about the sustainability of the data center boom, but the firm remains confident in the long-term potential of both AI and data infrastructure.

Deal Doesn't Signal a Peak

Macquarie Asset Management (MAM) recently sold Aligned Data Centers, but MAM head Ben Way insists this isn't a sign that the data center market is peaking.

According to Way, the sale to investors, including BlackRock, Microsoft, and Nvidia, simply reflects a natural point to exit a successful investment after seven years, rather than a loss of faith in the sector's prospects.

AI Driving Data Center Demand

The rising demand for advanced computing power, fueled by AI development, is pushing companies to invest heavily in data centers and advanced chips.

Morgan Stanley projects that major tech players like Alphabet, Amazon, Meta, Microsoft, and CoreWeave will collectively spend $400 billion on AI infrastructure this year alone, illustrating the scale of investment.

Macquarie Still Sees Growth

While the Aligned sale marks a significant exit, Macquarie is reinvesting in the sector; MAM announced a $5 billion partnership with Applied Digital to fund high-performance computing data centers.

Way emphasized that vast digitalization and artificial intelligence are only just beginning, and substantial opportunities remain.

Details of the Aligned Deal

Aligned operates 5 gigawatts of data center capacity, with the $40 billion price tag representing the company's total enterprise value.

MAM funds held approximately 50% of Aligned, with co-investors holding an additional 20%; the deal marks the largest private equity exit for the Australian fund manager.

Market Responds Positively

Macquarie Group's shares surged 5.13% following the announcement, reaching their highest level since July and significantly outperforming the broader market.