Infratil's Data Centre Arm Lands Australia's Biggest-Ever Contract

A 555 megawatt hyperscaler deal at Canberra Data Centres could nearly triple its earnings by FY28, even as accelerated renewable investment pressured near-term guidance.

30 Jun 2026 · 2 min read

Infratil rallied nearly 30 percent in May after its Canberra Data Centres subsidiary announced Australia's largest-ever data centre contract, a 555 megawatt, ten-year deal with a major US hyperscaler that fund managers say could nearly triple CDC's earnings by FY28, even as accelerated development spending pressured FY27 guidance the following month.

Australia's largest-ever data centre contract

Pendal Group said the stock rose 18.7 percent as Infratil highlighted Australia's AI market opportunity, with CDC, of which Infratil owns around 50 percent, announcing a 555 megawatt contract win with a major US hyperscaler, taking total contracted capacity above 1 gigawatt, on a ten-year term with 20 years of options becoming operational over FY28 and FY29. SG Hiscock and Company called it the largest data centre contract in Australian history, expected to drive CDC's earnings from around A$400 million today to more than A$1 billion by FY28. Quest Asset Partners said the stock rose 29 percent as the contract effectively doubled CDC's capacity to over 1 gigawatt, noting global data centre operators like Digital Realty and Equinix had been well sought after by the market, but that enthusiasm had not yet extended to Quest's data centre exposure through Infratil and Goodman Group, until May changed that.

The CDC 555MW contract win, the largest data centre contract in Australian history, takes total contracted capacity above 1GW and is expected to drive CDC earnings from ~A$400m today to over A$1bn by FY28.

— SG Hiscock and Company, Monthly Report, May 2026

An exceptional CEO presentation seals the conviction

QVG Capital named the presentation Infratil brought to a conference the best it saw, noting the New Zealand infrastructure investor had performed well historically, but the real story was CDC chief executive Greg Boorer presenting, describing the rare experience of seeing an exceptional CEO who genuinely understands their business and industry.

A broader infrastructure platform beyond data centres

Smallco Investment Manager said Infratil was one of its largest contributors for the quarter, up 32 percent, having held the position for several years before it became a new addition to its significant holdings list, describing it as an externally managed infrastructure investment company with a portfolio of long-duration platforms spanning digital infrastructure, renewable energy, telecommunications, healthcare and airports.

June's guidance reflects accelerated investment, not weakness

Pendal Group said Infratil's FY26 result came in line with expectations, but FY27 guidance sat around 9 percent below consensus, driven by its Longroad US renewable business incurring significant cost growth to support an accelerated pipeline of projects being brought online, a dynamic Pendal said supports upgrades to outer-year estimates given the acceleration involved.

What fund managers say they are watching next is conversion of the 555 megawatt contract into operational capacity through FY28 and FY29, delivery of CDC's projected path from around A$400 million to more than A$1 billion in earnings, progress on Longroad's accelerated US renewable project pipeline, and further contract wins given the scale of hyperscaler demand now evident.