By Nikki Cabus

Miami’s Cyxtera Receives Court Approval for Sale to Brookfield and Plan of Reorganization

Read Time 3 Minutes

Cyxtera (OTC: CYXTQ) announced that the U.S. Bankruptcy Court for the District of New Jersey has approved the sale of substantially all of the Company’s assets to Brookfield Infrastructure Partners L.P. (NYSE: BIP, TSX: BIP.UN) and its institutional partners (collectively “Brookfield”) and will confirm Cyxtera’s Plan of Reorganization.

Cyxtera is a global leader in colocation, interconnection services, and digital infrastructure. With IT infrastructure becoming increasingly hybrid, complex, and distributed, Cyxtera continues to expand its portfolio beyond space and power to deliver more cloud-like and flexible infrastructure solutions across its global data center platform and robust partner ecosystem. Today, Cyxtera provides more than 2,300 enterprise and government customers with the technology solutions they need to scale faster, achieve financial goals, and gain a competitive advantage.

“We are pleased to be moving forward with our sale to Brookfield, which will provide Cyxtera with additional financial flexibility and enable us to benefit from Brookfield’s global infrastructure expertise,” said Nelson Fonseca, Cyxtera’s Chief Executive Officer.

“Demand for our innovative data center services remains high, and we see significant opportunities ahead with our customers as we enter this next phase of growth.”

As previously announced on November 1, 2023, Cyxtera entered into an asset purchase agreement (“APA”) with Brookfield for a sale of substantially all of the Company’s assets.

Brookfield Infrastructure Partners L.P. is one of the largest owners and operators of critical global infrastructure networks which facilitate the movement and storage of energy, water, freight, passengers and data. The company is one of the few pure play, publicly traded, global infrastructure vehicles that invests in premier infrastructure assets with stable cash flows, high margins and strong growth prospects. With over $850 billion in assets under management, and over 100 years’ experience as an owner and operator, Brookefield puts their capital to work in virtually every transaction.

In connection with the APA, Brookfield entered agreements with certain of the Company’s landlords to purchase the real estate underlying seven of Cyxtera’s U.S. data centers. Additionally, Cyxtera amended the terms of its leases at three U.S. sites and three international sites to allow it to exit those sites in 2024. Collectively, these transactions will strengthen and optimize Cyxtera’s data center portfolio, better positioning it for the long term.

Fonseca continued, “Our partnership with Brookfield will strengthen our business, and we remain committed to ensuring the transition is as seamless as possible for all our stakeholders. We appreciate the continued support of our customers and partners throughout this process, and we thank our employees for their unwavering commitment to serving our customers.”

Cyxtera expects to complete the transaction with Brookfield, subject to regulatory approval and the satisfaction of customary closing conditions, and emerge from the court-supervised process in the first quarter of 2024.

Additional information regarding the Company’s court-supervised process is available at Court filings and other information related to the proceedings are available on a separate website administrated by the Company’s claims agent, KCC, at; by calling KCC toll-free at (877) 726-6510, or (424) 236-7250 for calls originating outside of the U.S. or Canada; or by emailing KCC at

Kirkland & Ellis LLP is serving as legal counsel to Cyxtera, Guggenheim Securities, LLC is serving as financial advisor, and AlixPartners, LLP is serving as restructuring advisor. Moelis & Co. is serving as exclusive financial advisor to Brookfield on the acquisition of Cyxtera. Wells Fargo and TD Securities are serving as joint financial advisors to Brookfield on the acquisition of the real estate underlying seven Cyxtera data centers and the pro forma combined entity, and are providing committed debt financing for the broader transaction. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as Brookfield’s legal counsel.