APDC launches lawsuit against NEXTDC

APDC launches lawsuit against NEXTDC

The ongoing saga between NEXTDC (ASX: NXT) and the Asia Pacific Data Centre Group Limited (APDC) (ASX: AJD) has come to a head.

It was revealed on Thursday morning that APDC has initiated legal proceedings against NEXTDC in relation to a dispute over APDC's claimed "ongoing access rights" at three of NEXTDC's data centres.

The three data centres in question are based in Sydney, Melbourne and Perth.

NEXTDC says it intends to defend APDC's latest claims.

APDC went on to clarify the nature of the lawsuit against NEXTDC in a statement to the ASX.

"Following numerous attempts seeking access to the APDC Portfolio for both the independent valuers and prospective purchasers to inspect the facilities, APDC Trust has now made an application to the NSW Supreme Court to seek specific performance under each of the leases to allow the inspections to take place," says APDC.

The release also clarifies that APDC is seeking a declaration from the court that NEXTDC's conduct is in breach of its leases.

This is not the first bout of drama between the two data centre companies. In 2017, NEXTDC entered a bidding war with major APDC shareholder 360 Capital Group to takeover APDC.

360 Capital eventually outbid NEXTDC and currently holds the majority of shares in APDC.

NEXTDC holds a significant 29.2 per cent stake in the company.

In early April 2017, NEXTDC rejected a $265 million pre-emptive first right of refusal offer from APDC to purchase three data centres owned by the APDC Trust.

Prior to this, NEXTDC rejected the APDC Trust's pre-emptive first right of refusal offer of $280 million for the portfolio in February 2018, and a pre-emptive offer of $300 million in December 2018.

In December 2017, NEXTDC announced its intention to wind up APDC based on "elevated concerns" it holds about 360 Capital Group's ability to manage APDC.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

The cost of not communicating: How Whispir’s tailored messaging tech lifts engagement
Partner Content
While it is common for businesses to haggle with suppliers over small price differences...
Advertisement

Related Stories

Salad chain FISHBOWL swims upstream with new stores in Brisbane, Gold Coast

Salad chain FISHBOWL swims upstream with new stores in Brisbane, Gold Coast

A Japanese-inspired salad bar from Bondi with "No More Fast Fo...

QLD and NSW floods become third costliest disaster, insured losses hit $4.8 billion

QLD and NSW floods become third costliest disaster, insured losses hit $4.8 billion

The recent floods that ravaged parts of Southeast Queensland and No...

New Aim proceedings against ex-employees and e-comm competitors dismissed by Federal Court

New Aim proceedings against ex-employees and e-comm competitors dismissed by Federal Court

After successfully receiving injunctive orders against former emplo...

Former Sigma Healthcare GM hit with $100,000 penalty for insider trading

Former Sigma Healthcare GM hit with $100,000 penalty for insider trading

A former general manager at Melbourne-based pharmaceutical company ...