Bevan Slattery tipped to float NextDC in December in $40 million IPO

Telco veteran and PIPE Networks co-founder Bevan Slattery could float his new data centre venture NextDC on the Australian Securities Exchange next month, according to reports.

A report published in The Australian Financial Review suggests Slattery is preparing to float NextDC in mid-December, with the aim of raising $40 million.

Both Slattery and representatives at NextDC were contacted for comment this morning, but none were available for comment before publication.

Slattery was scheduled to leave Pipe Networks in March 2011, but TPG announced on 14 October that he would step down by mutual agreement.

Just four days later, NextDC announced Slattery had joined as chief executive.

NextDC describes itself as a data centre provider. Slattery said in May that the company will provide state-of-the-art data centres and cloud computing services, with the company already looking at markets in Melbourne, Brisbane, Perth and Auckland.

RBS Morgans has been tipped as an underwriter and manager, along with Moelis and Company. Roger Clarke, who serves as chairman of board of advice at RBS Morgans, also serves as a director at NextDC.

Greg Baynton, a former director at Pipe Networks, and former Pipe chief financial officer Robin Khuda, are also listed as board members, while Symantec vice president and managing director for the Pacific region Craig Scroggie has joined the company as a non-executive director.

Slattery has reportedly pumped $20 million into the business already, but Khuda has previously said the company would be considering an IPO.

“We are exploring a number of options, and listing is one of them,” Khuda told ITNews.com.au earlier this year. “We will be making a decision within a month or two.

“This will be a capitally-intensive business, being listed gives you funding from both the banks and shareholders – so in some ways it’s the easier option.”

Slattery says NextDC will be able to transform the data centre industry in the same way he argues Pipe changed the telecommunications landscape, “only we are planning to do it faster and bigger”.

“NextDC has also finalised the preliminary technical specification and design of our Melbourne facility, with a construction contract to be awarded in the coming weeks,” he said last month.

“Our Melbourne purpose-built ‘green’ data centre facility is also on track to be operational in second half 2011.”