First reported by Reuters, people with knowledge of the matter suggested that Elliott Investment Management (Elliott) has held informal talks with advisors about a possible sale of Ark.
This process could start as early as next year.
Although nothing is confirmed, potential infrastructure investors have reportedly been approached. This is rumoured to be the second attempt to sell the data centre company, with the first in 2023 not reaching Elliott’s expectations, according to Reuters sources.
However, with the current global data centre market continuing to surge in demand – alongside appetites for cloud and AI services – companies like Ark have become a lot more lucrative for investors.
Elliott first acquired Ark in 2012 through its private equity arm, with Revcap retaining a minority stake.
Currently, Ark has a joint venture with the UK government’s cabinet office called Crown Hosting Data Centres, meaning that Ark has access to all UK public data centre requirements. With an existing capacity of over 116 MW, Ark has one of the most ambitious development programmes in the country.
The data centre company has also been expanding its presence worldwide, including at IdahoIX to support regional economic growth in the US and enhance digital infrastructure.
Elsewhere, Elliott is exploring data centre options, having held talks with data centre leader Equinix earlier this year.
Leveraging its infrastructure expertise, it was reported that Elliott was aiming to address Equinix’s stock volatility amid surging AI demand, which aimed to drive significant growth for the rest of the year.
The news comes as other data centre deals are taking place in the UK, including SC Capital’s talks to buy data centre group Global Switch that could value up to $5 billion.
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