Analysts largely positive on MIT's proposed US data centres deal

Singapore

MARKET watchers are largely positive on Mapletree Industrial Trust's (MIT) latest proposed acquisition, which is set to increase its exposure to US data centres. Earlier this week, MIT's manager had announced a plan to buy the remaining 60 per cent stake in 14 data centres in the US from its sponsor for an estimated US$218 million.

Following the announcement, OCBC has bumped up its fair value estimate for the counter to S$3.25 from S$2.84 previously. OCBC has a "buy" on MIT. Meanwhile CGS-CIMB has raised its target price on MIT to S$2.81 up from S$2.66 previously, though it downgraded its recommendation on the counter to "hold" from "add" based on valuations.