Chinese data center company Vnet jumps on report of possible rival takeover offer

Jul. 27, 2022 8:46 AM ETVNET Group, Inc. (VNET)GDS, CDBy: Joshua Fineman, SA News Editor

Vnet Group Inc. (NASDAQ:VNET) soared 14% in premarket trading on a report that MBK Partners is considering making an offer for the Chinese data center company.
MBK Partners is in discussions to join with a partner to make a bid for Vnet (VNET), according to a Bloomberg report, which cited people familiar. Blackstone (BX)-backed Vnet is also said to have drawn interest from other investment funds in the industry.
An offer from an MBK-led group would compete with a bid from Chinese private equity firm Hina Group and the Shanghai Branch of Industrial Bank Co., which in April made a non-binding offer for $8 per American depositary receipt.
The bids for Vnet (VNET) also come after a Bloomberg report in late April that Chindata Group (CD), another Chinese data center company, received takeover interest from other firms in the industry. GDS Holdings (GDS) is said to be evaluating an offer to combine with Chindata, according to the report.