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LONDON - Digital 9 Infrastructure PLC (LSE:DGI9) has finalized the sale of its entire stake in the EMIC-1 project for $43 million, slightly above the previously communicated consideration due to a closing adjustment mechanism. The transaction, which was completed after meeting all closing conditions with the buyer, also includes the release of approximately $10 million in additional construction commitments.
The divestment, which was initially announced on December 31, 2024, resulted in net proceeds after accounting for the transaction costs of $2.6 million. The company plans to use the proceeds from this sale to significantly reduce its debt by repaying £40 million of its Revolving Credit Facility (RCF) immediately. The remaining balance of the RCF, which stands at £13 million, is expected to be settled with further divestment proceeds and working capital surpluses.
Digital 9 Infrastructure, listed on the London Stock Exchange (LON:LSEG) and part of the FTSE All-Share, is currently in a managed wind-down phase, aiming to orderly realize all existing assets in the company’s portfolio. InfraRed Capital Partners (WA:CPAP) Limited was appointed as the Alternative Investment Fund Manager (AIFM) on December 11, 2024, to oversee this process.
The company’s strategic shift towards divestment aligns with its objective to manage the wind-down efficiently and maximize returns for its shareholders. The successful completion of the EMIC-1 transaction marks a significant step in this direction, contributing to the company’s deleveraging efforts and financial restructuring.
This announcement is based on a press release statement issued by Digital 9 Infrastructure PLC and does not include any speculative content or subjective assessment.
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