BUZZ-Australia's HMC Capital hits record high, MS lifts PT after $1.3 bln data centre deal

Reuters10-25
BUZZ-Australia's HMC Capital hits record high, MS lifts PT after $1.3 bln data centre deal

Updates with share moves

** Shares of HMC Capital HMC.AX up as much as 7.1% to A$9.860, hitting a record high

** Stock set for strongest trading session since late May

** Analysts at Morgan Stanley raise PT on the asset manager to A$9.10 from A$8.80

** HMC's acquisition of Global Switch Australia to be considered a positive, assuming successful launch of its proposed listed and unlisted data centre funds, says Morgan Stanley

** Asset manager HMC Capital raised A$300 mln ($199.08 mln) at A$8.75 per share to fund the A$1.94 bln acquisition, to tap into highly attractive data centre market

** Brokerage estimates acquisition could add A$20 mln - A$30 mln+ to FY25 forecast earnings, assuming typical transactions and establishment fees

** Stock has risen 49.5% YTD as of last close

($1 = 1.5069 Australian dollars)

(Reporting by Sneha Kumar and Shivangi Lahiri in Bengaluru)

((Sneha.Kumar@thomsonreuters.com))

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