CDC Independent Valuation – 31 March 2025

Infratil Limited 5 Market Lane, PO Box 320, Wellington, New Zealand Tel +64-4-473 3663 www.infratil.com
4 April 2025

CDC Independent Valuation – 31 March 2025

As a result of the transaction announcement in February, the primary valuation methodology
applied by the independent valuer at 31 March 2025 was adjusted from a Discounted Cash Flow
(‘ DCF’) approach to a Historical Transaction approach. After being provided details of the outcome
and nature of the sale process conducted by CSC, the valuer confirmed their view that the
transaction met all criteria to be considered fair market value and subsequently adopted A$13,7 01
million as the mid-point of its independent valuation.

This implies that Infratil’s 48.17% investment in CDC is now valued at between A$6,066 million
and A$7,208 million (with a midpoint of A$6,600 million), up from A$4,485 million to A$5,385
million (with a midpoint of A$4,924 million) at the end of December 2024.

As communicated in February, Infratil agreed to acquire approximately 1.58% of CDC’s ordinary
shares for ~A$216 million, with Future Fund acquiring the remainder (10.46%) of the 12.04% stake
being sold by CSC. The transaction was secured under CDC’s pre-emptive rights regime,
following a competitive international bidding process run by CSC. Completion of the acquisition is
subject to customary closing conditions, including Foreign Investment Review Board (‘FIRB’)
approval. Financial close is expected in the second half of 2025.

Given the historical use of DCF as the primary methodology, a secondary cross-check using this
approach was also conducted and resulted in an implied cost of equity of 11.1%, down from 12.5%
as assessed in December 2024. The decline in the implied cost of equity can be attributed to a
decrease in gearing across the forecast period (given the increase in equity value), as well as a
reduction in the asset-specific risk premium. The risk-free rate, asset beta and terminal growth
rate remain unchanged.

The growth forecast underpinning CDC’s build capacity to FY2034 remained largely unchanged
from December 2024, with the exception of the completion of extensions to two of CDC’s data
centres in Auckland. This increased CDC’s operational capacity by a further 16MW to 318MW
and continues to demonstrate CDC’s strong track record of delivering projects on time and to
budget.

Region
Status
Build Capacity
(MW) to FY34,
as at
31 December 2024
Build Capacity
(MW) to FY34,
as at
31 March 2025
Canberra
Operating 117 117
Sydney
Operating 123 123
Melbourne
Operating
34 34
Auckland
Operating
28 44
Total Operating Capacity 302 318
Canberra Under Construction 39 39
Sydney
Under Construction 158 168
Melbourne
Under Construction 121 121
Auckland
Under Construction 70 54
Total Under Construction Capacity 388 382
Canberra Future Build 93 93
Sydney Future Build
879 869
Melbourne Future Build 630 630

2
Region
Status
Build Capacity
(MW) to FY34,
as at
31 December 2024
Build Capacity
(MW) to FY34,
as at
31 March 2025
Australian Expansion Future Build 36 36
Auckland Future Build 126 126
Total Future Build Capacity 1,764 1,754
Total Capacity 2,454 2,454

In line with prior communication, Infratil expects to commit a further A$250 million within the next
12 months to continue to fund the expanding development pipeline.


Enquiries should be directed to:

Mark Flesher
Investor Relations
Email:
mark.flesher@infratil.com
Authorised for release by:

Andrew Carroll
Infratil Chief Financial Officer

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Appendix 1 – Independent Valuation Summary 31 March 2025
Valuation Methodology 31 March 2025 31 December 2024
Primary valuation
methodology
Historical Transaction
(with a cross check to DCF,
comparable companies and
precedent transactions)
DCF using FCFE
(with a cross check to comparable
companies and precedent
transactions), surplus and
underutilised land at cost
Forecast period
30 years (2055) 30 years (2055)
Enterprise value
A$17,264 million A$13,399 million
Equity value
A$13,701 million
(IFT share: A$6.600 million)
A$10,223 million
(IFT share: A$4,924 million)
Net debt including accrued
RMS payments
A$3, 563 million A$3,176 million
Key Valuation Assumptions
Risk free rate 3.90% 3.90%
Asset beta 0.575 0.575
Cost of equity
(blended rate) reflecting the
assessed risk of the spectrum of
CDC’s activity, from operating data
centres with contracted revenues
through to developing projects
without contracted revenues.
11.07% (I mplied) 12.50%
Terminal growth rate 2.5% 2.5%
Long term EBITDA margin 83% (2055) 83% (2055)
Capex
Future capex reflects CDC’s
published development pipeline
Valuation assumes no
development beyond 2040
Valuation assumes no
development beyond 2040