SWCH - Switch: Likely To Be Acquired But Not By Digital Realty Or Equinix
- Switch is a Las Vegas-based data center play, smaller than the likes of Digital Realty and Equinix, but growing much more rapidly.
- Some news updates mention that it is open to a takeover bid.
- Consolidation trends in the data center industry and the change in its corporate status tend to confirm the takeover route.
- A look at recent deals helps in valuations and it is more likely to be acquired by an infrastructure management company rather than constitute a strategic buy-out by a data center play.
- Switch is a buy with a 15%-16% upside potential considering that it makes for an appropriate acquisition target.
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Switch: Likely To Be Acquired But Not By Digital Realty Or Equinix