Movement Alert|Blue Owl Capital Inc. Falls 5.1% in Pre-Market Trading, Asia-Pacific Data Center Asset Valuation Shrinks Significantly Below Expectations

Market Focus
Sep 24

On September 24, Blue Owl Capital Inc. fell 5.1% in pre-market trading, trading at $9.15/share, with turnover of approximately $492,600. The decline was triggered by news that the valuation for the company's Asia-Pacific data center assets under Stack Infrastructure came in well below the originally targeted price.

A consortium comprising a BlackRock-affiliated AI infrastructure partnership and IFM Investors has entered exclusive negotiations to acquire Blue Owl's Stack Infrastructure Asia-Pacific data center portfolio. The transaction valuation range currently stands at $20 billion to $25 billion, notably below the over $30 billion Blue Owl had initially sought, representing a discount of 17% to 33% from the original asking price. The prospect of a below-expectation asset sale weighed on market sentiment.

For context, Blue Owl reported Q2 distributable earnings of $0.22 per adjusted share, meeting analyst estimates, while revenue of $753 million beat the consensus estimate of $693.1 million. The company has also been advancing capital return initiatives through its subsidiaries and expanding its digital infrastructure footprint. However, the significant markdown on the Asia-Pacific data center assets raised concerns about the broader valuation of Blue Owl's infrastructure portfolio.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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