NextDC has fired back at Asia Pacific Data Centres (APDC)’s application in the NSW Supreme Court earlier this week, saying that the property trust's management “had no right” to bring in property valuers to its data centres.
APDC, the property trust that owns three sites that house NextDC’s data centres, took the colocation provider to court last week, for allegedly breaching its leases by not allowing independent property valuers and prospective buyers to carry out inspections on the sites.
“Contrary to claims by APDC, NextDC continues to resist ongoing disruptive access to S1, M1 and P1 in accordance with its rights under the respective property leases,” NextDC said in a statement.
“NextDC’s position remains that APDC has no right to interrupt NextDC’s exclusive possession by bringing in valuers onto the sites. These matters remain before the court for determination and NextDC will continue to vigorously defend its rights.”
APDC said that NextDC had previously allowed at least six independent valuation inspections as well as from prospective purchasers in the past, so the colocation provider’s rationale for refusal is “unclear”.
NextDC did eventually allow a prospective buyer to inspect the sites on 24 April, after the buyer acknowledged that they had to pay $265 million to acquire the sites.
APDC accepted this compromise, but NextDC's refusal to allow independent valuers to access the property paved the way for the lawsuit.
“The APDC boards remain open to resolving the current matters on foot in an amicable basis. We encourage NextDC to engage on the proposed buyback and we remain open to resolving the current access dispute on a sensible basis,” APDC said in a statement.
“APDC will continue to act in the best interests of all securityholders and will continue to keep the market updated on the various items disclosed today.”
In February, APDC approached NextDC to buy back three of its data centres for $280 million or they could be sold off to a third-party. NextDC hesitated on the offer, leaving the property trust to engage discussions with other potential buyers.