CBRE Group announced the acquisition of Direct Line Global, a provider of data center infrastructure for the world’s leading technology companies, from private equity firm Guardian Capital. And the acquisition is expected to be immediately accretive to CBRE’s core earnings-per-share.
Launched in 1997, Direct Line Global provides design, installation, maintenance, and management solutions for data center owners and operators, primarily in the U.S. It is focused on serving the world’s largest global technology companies across the hyperscale market, which is growing rapidly, co-location and enterprise segments.
Direct Line Global provides technical services, like server support infrastructure, while CBRE currently focuses on facilities management services. And combining the two gives CBRE the ability to deliver integrated data center solutions that no other service provider can match.
Direct Line Global has grown significantly since Bill Nelligan became CEO in 2021. The company, based in Fremont, CA, has more than 1,000 employees, including significant operations in northern Virginia and additional operations in Hong Kong, the Philippines, Singapore, and South Korea.
Direct Line Global will be operating as part of CBRE’s Data Centers Solutions business within the Global Workplace Solutions business segment.
KEY QUOTES:
“This acquisition fits squarely with our strategy of enhancing our capabilities in asset classes that benefit from secular tailwinds – in this case, the increasing digitization of the global economy. Direct Line Global perfectly complements our existing data center management capabilities and provides us with best-in-class technical capabilities that differentiate our service offering.”
– Vikram Kohli, chief operating officer of CBRE
“We see huge benefits from operating as part of CBRE. Our business has strong momentum, driven by the economy’s voracious appetite for data and artificial intelligence’s explosive growth. We are particularly energized about the opportunities that CBRE’s preeminent global platform will afford us for overseas growth.”
– Bill Nelligan, chief executive officer of Direct Line Global
