Earnings call transcript Q4 2022

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Operator

Greetings, and welcome to the DigitalBridge Group Inc. Fourth Quarter 2022 Earnings Conference Call. [Operator Instructions].

It is now my pleasure to introduce your host, Severin White, Managing Director, Head of Public Investor Relations. Thank you.

begin. may You

Severin White

and Conference everyone, DigitalBridge's Quarter Fourth Good welcome Earnings Call. XXXX morning, to

the the Speaking Ganzi, today call on from and Wu, our company Jacky our CFO. CEO; Marc is

we the harbor, cover started. quickly I'll and then can safe get

DigitalBridge today and Some operations our cause uncertainties considered and that and we a involve results be business such may could regarding statements of performance number that February does the on forward-looking statements discussed make financial intend this is of XX, information actual risks XXXX, duty All today, and circumstances. no for materially. differ undertakes to it future not or as and call update of to events

For more XXXX. filed risk be with discussed information, the SEC in year the XX, factors our for recent December to refer please XX-K the to ending

Marc guidance XXXX. and outline it Marc to progress will what focused we're the we Jacky XXXX, to in start we've turn updated our in So financial and are to outline with summarizing back over results made going on

the Marc With I'll Ganzi, over Marc? turn that, CEO. our call to

Marc Ganzi

a itself has the durable most investors dynamic that which allocating one maintaining partner macro are classes. operating infrastructure, Sev, investors, year, environment, this and Most Particularly teams you, by be as we proven stage through to XXXX continued today our and we institutional and XXXX progress transformation. delivered your to of of position our context. the asset of top navigate our start for thank we enter growth DigitalBridge. I'd this management choice to as putting in to year capital like interest in the the made digital Thanks, and importantly, final

established out strategies. for business the stack with a We going strategy. forward, complementary asset our corporate as driver building management our new strategic full profile successfully growth on platform First,

to Next, capital opportunity. relevant is find where look formation. you'll our KPI. and our forward near-term best most growth, you earnings revenue this When It's

targets forward fundraising XXXX year, our building going growth for into significant and embedded exceeded earnings, beyond. the we Here, up

growth environment portfolio excelled. this free for flow to leasing, really to best today's in continued driving is And is a we our We'll most today. and deliver Again, perform performance. from solid little talk and matters, strong portfolio where bit what outcomes create The is escalators. investors. to our importantly, Finally, about here leasing that with organic cash way

slide, asset-light, going the established Next forward. DigitalBridge growth please. XXXX, really company asset was our our high-return platform In shift model. about fundamental our business for a management orienting scalable, business The around as driver strategic

to are corporate believe detailed is before allow and a own the to tap business. returns us leading markets without regularly digital market superior overview, alternative. an position a having of superior with on As establish capital in to grow This Investment our way we've our infrastructure. a capital Management capital alternative to associated We smaller

to objectives strategic this of a key road allowed that achieved number us map. We advance year last

scaled of equity you, the through core of the we business. with and profile, acquisition full to investors, credit also our telegraph our First, our launch and as we AMP's stack both M&A organically infrastructure strategies with

investment plus us Now middle-market capability rebranded a This digital a focus. as compelling gives InfraBridge. with

stake Second, shareholders. our you, XXX% consolidated Wafra's back of our we of Management ownership Management to DigitalBridge flow minority so the buying back platform, earnings Investment Investment that

was corporate represents the to Starting transformation. which phase the segment, business deconsolidating simplify with DataBank step our This continue we our Finally, in operating profile. recap. first our last the in

XXXX sets win this up us beyond. Some in and to strategic very year that important progress

Next slide, please.

liquidity to maintain road Investment transactions strong while capital advancing at In X map, across level. addition to strategically our corporate the continuing we allocated accretive Management

XXXX, optimize accretive As million allocated profile as well our we before, to investment structure. Investment in I've in to our liquidity imperative DigitalBridge. to in $XXX Management maintaining cash strategic continuing this mentioned strong in a as is M&A In over our environment capital

on bit little a Let me that. elaborate

advantage AMP's let's Wafra stake, the of franchise $XXX $XXX million of as set market We to stock last with in the forma back First, million over dislocation of the purchased and over bit of investments preferred $XX incremental fourth share. for issuance equity the well are earnings, translates Those quarter stock. under as to in including year. a earnout and infrastructure generate in per little million cash, next, start taking $X.XX EPS which of common pro bought over

at we almost XXXX, prioritized and strong Today, that we deployed in also have significant $XXX capital While maintained liquidity. million. stands

in essential to in debt plan. a strong is ability priorities line continue we investment both this and during liquidity significant our battle our of The business, deleveraging pro-rata reducing on year. were to this Again, delever corporate level with achievements to while Further, this my and environment, capital course XXXX. maintaining basis the allocate

Next please. slide,

formation. is revenue is that KPI Next capital earnings the This drives really growth. future and

the Here finished quarter. of XX%. $X.X solid cumulative target year $X.X equity four XXXX fee-earning across billion That year our our our billion, we raised $X.X off billion with for fundraising to a the and fourth midpoint of exceeding by $X.X We to took billion strategies.

year our As of see that first and the financials. high this in capital the revenue you'll kicks beyond, growth gear quarter into follow in

please. page, Next

our acquisition, at half just us So we've InfraBridge, forward excited in about closed today, organic we platform? fundraising That's AMP, the the As growth of excited looking to that the commenced We're prospects the about back-office and February. and integration of operations. that and we're DigitalBridge where that, other beginning for We're growth the put FEEUM. business in across of of we're higher has which the the last XX% teams already full $XX billion acquisition half than the year and coming does at via that approximately with from shareholders.

colors itself note Partners of see you're the really strategies. We've permanent enables what This stack we're revenue scale us the That about you funds, to the gotten core slide. growth manifest to for talked our plan. and of significant top important we've building our of the flagship here see full On liquid and thing and proliferation in business those is DigitalBridge on go-forward co-investment, capital embedded and Series starting now XXXX. vehicles efforts. is significant The other manifestation credit to capital growth in earnings in And and execute strategies. will that laying our

Next slide, please.

piece that's relevant back global our is third across in success XXXX look portfolio. had we've the here we as So the

the a front did particular, back with the means $XX take-private Number global basis. that Towers On in highlight Deutsche platforms in we investing $XX GD of new billion of Telekom. want In year. signature last end, secondly, billion that partnership Switch. on to the I one, the actively X transactions And half

in the remain theater, excited and platforms able portfolio there been XXXX looking in and want out forward geography. about also new growth I to we're tuck-in to to that acquisitions, we're We in that and we've across both existing companies with call Asia, beyond. seeing investing execute

and in growth last And look, is this over X of now with We're continents. the FEEUM by experienced we've enabled X that all investments years. continued AUM in

in you. and beat let In we summary, a in me by that X last XX% XX% over proper one, again, the AUM budget. put perspective XXXX XX% since FEEUM our growth growth XXXX years. against for So FEEUM

I to that post some of more the growth matter sector. our continue pleased key of with asset We fastest management execution. areas the all be metrics in couldn't in the

Next page.

revenue in post type of level. investments asset the this growth organic why growth? of at outperforming we all, So most are the our important metric can Simple,

monthly to This of for our across is time, food be quarter. performance growth. recurring organic performance all revenue this our the groups. on basis over With Our continued foundation the and strong of year-over-year deliver growth franchise a

XXXX, led the through for a that over the X structures the we for hedged dynamic to in is have of debt their fixed On having XXXX of a and X of worked portfolio place setting and securitizations us multiple incredibly covenant, fixed playbook macro our in again. and you XXXX able side, working in with is XXXX, with metrics maximize at portfolio at years. a up was DSCR the in that been of the companies year COVID. is maturity accidental. beginning a extended to see portfolio traps. put and and conservative effectively management and by place not a XXXX, only This cash no manage right This an can and debt XXXX XX% we liquidity of companies. This over worked XX% well environment. conservative loan-to-value, at ratio is very average XXXX well put which We debt full This our plan it's capital ago us end

When investors, great our portfolio that performance level you this is deliver of the for a heart manifests on company itself outcomes good the business. really in

despite you, please. shareholders drives investors, a great and focused slide, Let's we talk of outcomes ultimately, strong say at of we're XXXX, so performance our excess we mean When is performance rate values environment deals interest for In generating XXs third on ago in on quarter multiples those The next DigitalBridge. our course, low well mid-XXs outcomes realizations generating few investors. of and we and reason our LPs public and about rising because the our a are the greater were years of the and attractive carrying at These than we X inflation, valuations you, peak fourth our for at carried not closed delivered, XXXX our when shareholders. in portfolio

a the durability that particular. We for ago market, and our was their in strong reinforcing First Vantage and years return of infrastructure cornerstone a IPO investors generated X.X otherwise Towers. challenging Towers digital

our years, QX fundraising on the basis substantial leading on Wildstone, we MOIC new digital where the premium sold a for even that is open X to to maintained period of we it then deal and to balance Again, as That's to better returns and our -- this books. in media bring end investors in lastly And we strong return our we investors. Second, platform sheet which just generated net for Antin. stays a at continue where original Xx a that year.

as shareholders. with the we alignment where and ultimately track what about, Again, the last it's create our now great management our record carried That's XX in my premium all over share to then public is years. we and a our public investors and And in best-in-class and on future exit performance investments, our asset significant you, platforms, get This for team, profits you, balance me with great teams, driving the investors growth sheet. been investing returns shareholders. to delivering our

for beyond. targets the performance the our capital portfolio on and all strategy, which table very So story sets the successful progress that's in at XXXX XXXX. and our Significant formation continued corporate of a level, beating

walk I'll to to with turn Jacky Jacky? So it the financials. that, through over

Jacky Wu

everyone. good Thank and you, Marc, morning,

we As this a of . quarter which section morning, report in release supplemental the our the Shareholders within available our a addition is of filed reminder, fourth financial to earnings, website.

company with fundraising fourth in our strong growth, our saw XX, performance the Management realized year-over-year business Investment quarter on Starting fees. and Page driven results by

million an or quarter loss XX% in represents million, period year. million, the increase fourth reported GAAP from EBITDA year. which million attributable per which $XX total same XX% by $XX net Total $X.XX the stockholders period the to common For grew $XX were same consolidated was last $XXX share. was revenues adjusted company last from

a of Total company earnings $X.XX per share. $XX was million or distributable loss

important is million that results impacted quarter note noncash to It $XX were this allowance. valuation a our by negatively

AUM under to NOLs Although applied have use the $XX periods. by the have fourth AMP we And GAAP to reversed from earnings, last continues the of reserve will our Towers. growth standards year, value now. its recently quarter, same as in transaction we expect Digital in company was to XX% of ability in this the GD it generate be Switch conservatively which and in grew including Capital, $XX the the period million closed million future

pro on forma have We basis. $XX over a reached AUM billion

to Turning XX. Page

the trended have year-over-year, its year all Our $X.X previously we very fee and fee-earning equity up structure. raised highlights the company continues XX% the allowance. capital in difficult up billion prioritize Furthermore, distributable fourth raised despite with and fee-related company during billion optimization of of noncash The quarter when earnings valuation management, to fundraising excluding under a the environment. capital mentioned fee-paying year-over-year $XX positively earnings revenues,

Our liquidity Capital after $XXX sits closing at the current million acquisition. approximately AMP corporate

repurchase increase During XXXX, future. we to quarterly we dividend, in a the initiated regular executed and which program have capacity share the believe a we

this detail later in in on presentation. touch will We the more

following by driven earnings Moving increased to grew and Management of The and led earnings, fee-related Wafra's our XX% company Investment minority acquisition by stake. of ownership recurring management. Page business equity increased by revenues revenue company's under fee-earning XX% share year-over-year, of respectively, the XX. the The and

share a which the Page year, growth. from XX% by driven adjusted to operating EBITDA Consolidated $XX revenues company's and was of operating increase center million, acquisitions organic period data same continued is XX. Moving last digital leasing The of the was digital EBITDA fourth XX% down quarter. are which the down XX% XX%. reductions These previously announced to in the year XX% company's the to beginning was attributed year-over-year, while at DataBank the ownership adjusted from reduced recapitalization

to XX. Turning Page

million annualized continued $XXX acquisition quarter pro $XX subsequently of earnings in our closed million Management Since recently fee includes was increased We a million have fourth This million fee-related basis. growth the to equity XXXX, seen $XXX which Capital's $XXX to high-margin rebranded Investment revenues our on from of from infrastructure AMP business. increased the InfraBridge. and platform, as forma

right expected simply committed the This of calculated end revenues run page, were average fee the by fee of $XXX side at year Looking the revenues multiplying rates. our million. the indication by of provides BUM an is rate at and the annual

for Moving now and will XXXX. to our Slide I XXXX XX. earnings guidance outline

the recapitalize run to allocate scenarios margin, our and We lower new a Investment the XXXX for a profile higher guidance and the updating of XXXX and as laid based our capital DE are earnings. shift indicative deconsolidate earnings. business intensity Management the once out for towards XXXX on are providing opportunistically and capital will intent X on accomplished, targets business, towards operating to rate segments, This asset-light, additional up higher earnings frees result. which We've

are in catch-up intended is this fees XXXX, the XXXX to by and fundraising. at represent of an strong by Note end successor impacted year XXXX, fundraising flagship Nominal product. We onetime of fund our for items. that be excluding will driven earnings expecting FRE timing exceptionally

earnings have focus recurring have heavily earnings, generating going we distributable begin We line forward. the positive bottom introduced and that guidance now on additionally on we'll to begun

addition expect to deployment, liquidity generate to to potential further allows carried and interest exits. rate the successful gains in realized strong which firepower and run to position earnings for Our earned from significantly contribute near-term we opportunistic

Turning to XXXX, legacy how on drive earnings overlevered XX. were generated to and Back and at been been look company's the to and has in to that the to into back wanted Page but We what where unsustainable. XXXX we've paper, date future. highlight continues assets accomplished

business legacy engine. we've high-growth, years, over business a and XX% with of low asset-light prospects high-margin, couple shed by of model next this fundraising and margin led the the unsustainable Over from moved the our assets company growth promising into

see funds, and continued our third to in our and our meaningful which of as led in structure carried continue begin by as uplift harvesting exits and successfully interest quarter to XXXX. M&A compounding investment We like capital IRRs target further we optimization, fourth alongside the presented, upside LPs with resulting core model we from completed attractive

continued to patience. plan, for say our easy, and to No as And long-term shareholder thank to I'm execute and transformation major is continue we'd that pleased DigitalBridge like the we shareholders for support prime this will success. be

company liquidity, both has investments Turning return and warehouse of The Page by fundraising. to from sheet to built successful significant proceeds recapitalization driven due DataBank XX. balance the

$XXX approximately with recent $XXX InfraBridge Following of for platform million we our sheet of the million, acquisition strongly positioned liquidity. balance are

readily the utilized expect cash for Throughout available XXXX, deploy shares expect potential sources sales, positioned Additionally, capital, such and we with obligations we convertible including further medium-term asset well remain remaining hand. retire accretive BrightSpire which to uses. as can have which be of legacy capital we repayment, to to upcoming offset to note XXXX on

XX. Moving to Page

and progress total credit have our improving with recapitalization XXx profile of as continued We transfer to improving into make to our lower newly core ratio a driven funds, warehouse from our This investment debt. reduction level in XXx. by raised down $XXX significant in DataBank result the investments debt-to-adjusted debt is and our reduction resulting operating a segment million debt in EBITDA

as million target the remaining debt. will reconsolidation $XXX due segment, of April only operating company's convertible We of in down the pay notes leaving and the securitization the the

to our that asset-light and the to we fee ratios is high-quality, we to and leverage strong by driven and earnings. continue As I've summary, business plan, our digits. low Management reiterate, healthy, as single our long-dated company In continued Investment expect sector-leading execute in upon achieve predictable generates

XXXX We and as expect near-term prospects our robust. to have a to remain strong start fundraising our growth

I back Thank And will you. with that, Marc. it turn to

Marc Ganzi

simple. one, XXXX. my lay This in where priorities we've fund I'd like This QX out things Thanks, top calls by Jacky. laying a out earnings it's we've to matter. I for raise. a pretty section X the Number is finish year, previous got that want to done

Two, segment Getting new We the existing will all of to platforms. strong around promise our deconsolidated liquidity. operating form as simplification. continue while we capital to and maintain you,

to going need CEO simple our to strong forward. fraught have the plan. market cash is and free has for and It's me at key cycle a at the presided driving growth we continue times. formula our have growth companies good a crosswinds asset the to in a battle industry-leading Lastly, by with through This success the a a and to you perform as tried portfolio level. asset with and tested management flow bad who The organic over seminal is focused revenue and

We here have beyond. that DigitalBridge and XXXX in at

Next page, please.

fund is our I let's with on you know going to raising. in have This is So KPI #X the eyes be really start will that This XXXX. quarter-to-quarter. your all of metric

platforms. plan billion raise new more of capital net down across buckets is That our break X than $X-plus opportunity. into essentially of will Our to

to First, finish have where year, we're two, existing this of momentum as strategies acquisition Series; our portfolio going last we're the heading continue our of program, fuel launch raising to providing new next we Three, companies to excellent our going grow co-invest into well core that part around growth. the platforms year; and we started Partner DigitalBridge going additional supporting to to as their we're capital first credit to

can the incremental is partner the no institutional to That a right, on see drive has X standout fee substantial of attributes FEEUM last to G&A. us. been with investors you years program amount incremental high-margin of of to one revenues, co-invest with going why little over really Our as want the reoccurring

because of see these people. persistent and the people in growth, XXXX digital the largely sector. new that infrastructure continue investors, we the are asset that by combination class invested in invested we is with durability those to off heavily interest its products, attracted FRE. seed in that the and naturally investor recognition We're and leading we to targets can that in of Now in will XXXX institutional the and DigitalBridge leading in fact in the fruits achieve world's this very grow strong We labor pay the is systems that to confident high-margin

please. page, Next

the are will next pay significantly So I to the is priority up, segment profile, to. all that one simplification investors drivers here This X into which thing corporate There operating want in be you one, IM. the of my continues about of to advancing result our public ultimately our Number today. we talk attention deconsolidation number reduced to complexity.

what businesses we consolidation a distorts of, DigitalBridge to The a sick revenues, which of for unnecessary combined cost tangible is hearing DigitalBridge flows XX% financial and structure, own, my leads own? that to burden it shareholder understand makes getting kind of that that cash view, challenging question. in complexity We're and investors is true capital

simple. So going we're to make things

second of acceleration here as devoid tough serving a pure-play asset assembling of will lean, is investors. business What which two The models, profile. complexity makes our of markets, on emerge growth it ultimately and the key the pulling corporate secular profitable manager you, apart a then

the over AMP, of levels already business into over form assets compound incremental lower Wafra, at stick again do at incremental essentially monetizing demonstrated and of them taking to redeploy optimization and and in that this we Lastly, structure. acquisition We're full to We've of in that will that the the initiative attractive our with redeploying we IM the multiples our fuel businesses time. of expect can M&A capital unlock digital from XXXX. growth we then capital our in order this

please. slide, Next

what profile? is and this we does X/X Vantage like coming which on quick SDC manager earnings a here's from today illustration like from of segments. segment, X/X the X look what finalize of we the our coming look just DataBank. and with Management Well, left, when our So asset Investment operating predominantly

SDC residual will the as Management platform, those investments, our is that amount driven by reoccurring and Investment So income the forward, from page, in Vantage be vehicles. our going earnings right which of DataBank keep we'll in retained earnings essence the supplemented revenues migrating to and of the side by GP continuation from principal

sheet we're and our one our aspects for our attractive and Strategically, going, with are the that we the limited all that to most public outcomes right investors more this symmetry closely for of of is well is, we balance align partners. with in creates private ability of it think the parties, The bodes capital LPs aligning investors. where transition all

please. slide, Next

is this end, financial looks profile what the on at simpler basis. that a So like

you in the few over infrastructure. to The transition reveal CAGR in incredible a can digital itself levered years. the markets manager, will secular strong anticipating growth that As FRE manifests financial asset XX% the on X-year next This fast-growing growth we're is see, performance. very

an revenue rate a and new incremental simple very have margins. XX We generating algorithm at with bps FEEUM attractive average of

I our that's before, go to simple profile high-growth stated my is is focus attractive forward profitability. This grow As appreciate. an to and understand

please. page, Next

So put we're and there's confusion. the to want address forward, going priorities finally, I are no going money what to work to our so where

few past capital the over uses. see, can you a to of combination years, we've As allocated

think I pragmatic we demonstrated as management very a these have be about choices. to team tend we

allocate our of X% of our the million capital been we allocations in we high-return think expect LPs. in to structurally cooking, optimization, compound One you'll and equity GP use long case. X% alongside our at run, our the with fund in almost to we each of capital capital and to finalize structure of vehicles. our attractive about like allocate commitments And rates, more this as We're has eating we especially own that. we agree to Today, our $XXX biggest see

our and active a $XXX over in is can primary stated to here as digital accretive few to I the IM million be Wafra second focus in growth. a ago. complementary continue continue earnings this increase where our and high-quality year, We'll pages platforms we M&A, strategic platform on AMP, use Between transaction with last stream. accelerate exposure cash build The to we deployed

infrastructure, at quarterly in not the is a last and equity do of a the looking notion M&A. We space and private been As occupy earnings continue which here that we've digital that we call, we'll accretive look entering to go also also good build out at there highlighted ground, and today. and are organically think in space opportunities I my fertile

piece to be optimization. which we on converts been use time year, we've to XXXX free cash structure expect term, back flow million near when The capital pay hand. on continue going here, our opportunistic. as forward. third the a down We come last due is they of promised, Look, bought cash I we'll $XXX of preferreds In in April with

LPs did we optimize as invest compound capital our here is, at of The the rationalize our of repurchases million, quarter, have key categories last work. see terms more Finally, continue a digital $XX capital an and price can dividends. took we stock also we year. as making our to back successfully $X.XX flow retained way We year we we of what advantage attractive for sure buying last to share in a committed and the stayed dividend to near in we allocation going call have a framework we're Over as and and measuring maintain to alongside put intend repurchases structure on look the capital. opportunistically free year, over it we'll We policy, last we M&A dividend to our time, continue to creative X we and to other low what capital focus grow but execute shareholder cash continue term executing to where and that time, promises. last our is against

Next page, please.

and today, investors we let's simple. XXXX. you, What's where going back it in ahead? conclusion we're for where want to to our year scorecard Pretty my bring the in So take

Here's my we're fund raise. One, checklist. to going

credit billion right As co-invest. well $X Partner DigitalBridge around new capital as on and strategy most laser-focused our of you forming as know, net now I'm core in

We're segment business. in businesses, ecosystem. in simplification. portfolio cash high-quality digital the our lastly, the and of finish performance. management going best delever flow teams in And organic infrastructure Two, with through operating invest the growth Continuing driving investing digital the deconsolidation to continue to free to transformation and our

will you, my control this as company. our good earnings really good believe for are that, I you execute. that back, execute go thank These on step variables we to our for a shareholders. are And things these morning. things initiatives, XXXX. importantly, is, X out most our these And to for we Taking and the can that With will at the happen happen presentation I things listening want belief

initiate to our turn the Q&A session. like over to to I'd back Operator? call operator Now our

Operator

Instructions]. [Operator

first of Prentiss the with is Ric from Raymond line James. Our question

Brent Penter

is morning. for this Ric This Brent on

you your question, thinking in private a about new to done, deal lanes swim be M&A else might expand mentioned segment. First target talked IM equity. about should we You into the What AMP offering? what With fit there?

Marc Ganzi

tuning for thanks and Marc, It's in.

and in models. think about made you're equity software we've are So There I high many been digital TMT us. and middle market, a priority prescriptive SaaS private clear also firms pretty that is digital that infrastructure private digital and that. I've it are very of equity that investing in

We traditional out talked them We're have a the management that of investment for. really good respect teams teams. talking our out like to lot in there couple be just management we would We of of think a there's we space. to all all

a of think couple that's business IM those a we so cash why there's we we've year to know of to opportunity harvesting been the good management And can opportunistic. teams. an add And last we've part getting through so our acquisition. spending be been that And that the

be prescriptive been force of think We've that Switch, pretty is, to our full full study, in leasing the and importance What about infrastructure want seen projections, year to leasing exceeded our our they and and digital 'XX that around customers outperforming we're has of X-year want be we've also with the also energy. I've case renewable digital renewable guidance, at infrastructure where ability energy said power in I renewable to centers energy. data

time the we're strength around about InfraBridge thinking can how So in renewable continue the lot space. platform we and spending to add of a grow

Wafra -- areas of private of today a in digital got the in equity We AMP do year we I me and equity think terms We're follow obviously, renewable that pretty that we And energy. middle private my got what M&A. really in a is of team, have to X rich focus targets, know those So guide think history we're M&A. are management did focused, and we've this going market number really with and very well last those a deals. doing

So and level is pretty strong. our confidence that conviction around

Brent Penter

then is And the between guide? interest end is that carried in what it. the kind that guidance, lower difference on And upper end Got guide? sort the of of the DE of and assumed

Marc Ganzi

it that. I'll on Yes, defer Jacky to

Jacky Wu

biggest not in is range, really have fundraising in The assumed Great. guide the by difference the we range but our carried in guidance. the driven interest

our upside incremental be to numbers. would that So

Brent Penter

you'll funds then And that might also portfolio have you to you exit. this lot to time codes deploy a guide. some be nearing Marc, if have then Okay. of And hit

So update give how What looks you're us looks less an what globally, multiples attractive? you right on M&A could now just attractive? viewing

Marc Ganzi

Yes.

that that say So it's cash debt, investment-grade and XX% long-term X, their flows businesses And cities, counterparties are I tale value. hanging high-quality I of right? X more businesses digital are that the high-quality, securitized to think infrastructure than I that holding and when the think assets of XX kind portable. have -- what still capital seeing you're in are is have are contracted greater structures years XX, exposed look, than and

assets We proved transaction. that proved with transaction. We cash high-quality structures, the we and in DataBank the in portable that flows. had We Wildstone had capital long-durated out

a of I generalists you years the think away what that have were lot bought consumer is was ago, of of side seeing very is fiber also infra that from. did flows, contracted X, the we series that long-term about city, which facing of X cash telegraphed other which were in, staying have which the I clear we funds you're not a sort of tale went

on we've X quality, and counterparties deployed we are and last The played fiber high exposure have flows. went cash of transaction, multiples focusing to We and Landmark. have long-term Switch, businesses the capital. that been long-term we that left other world high X These risk right and where the the paid went years, that's investment-grade Deutsche don't So leases, residential to for off. businesses rest and Telekom

just don't not always have what hope been on to are graphics we that businesses hope away careful It's at built do we've very So DigitalBridge. dividends. consumer-facing We from on dividends. invest stay and

of the so in we equity quarter I And because that third in and as up investment it other surprise we and DigitalBridge X Partners move fourth while And X private quarter both counterparties at moved our funds, and of was comes to continue other of saw execute or no investing forms our the largely value in that disciplined which par down. framework, either think and space, today. the

One, So is go can think play are new we of we of in dislocation. there kind of teens, advantage in there dislocation, be opportunities we think space, the there's to sector that play certainly fiber-to-the-home And the even in play low there's a this to interesting. not as investment not to think and opportunities going the down that we're seeing the back but We setup X capital. single when invest, re-mark opportunities good do all in mid-XXs, form if you that digits. sector market. good And again to as is in can really we in take types forward, you

very maybe to enter right fiber So we're the fiber. reflecting And that's they're those looking resi finally at some -- because time to the we of their or home businesses think value. carefully

We'll fund we we're data what this held We center We still continue strong like sort to We at opportunities look doing a number we're cloud. turbulent like public private we're private up centers. data like cloud on. global these focusing and in Got certainly Switch. very numerous like at macro narratives. public have environments in to have on in on. or of a Vantage, doing tower what cloud and of always working basis. Towers Towers on We deals execute

network models. Another SaaS that we're a is on is that based I good infrastructure think in area opportunity seeing really that

in right networking makes digital course, that the mid-XXs were the software-defined networks back now in is then, acquisition. now trading in some great the pressure down are sectors. other That's low of businesses interesting trading future. business assets. again. opportunity about had We what Outdoor the media look Media as we think coming we'll also a like And experience So Wildstone teens under tick with at The an

to again. stood is So of and It's right the And afraid to time last call where we'll the backing value we've that best-in-class. ideas, shopping. invest teams and do the legs of new high-quality that done it's time shopping not We've a we're something of be It businesses, up ideas. to X management what combination sort stool we has new then team. with and new management the

now. a we're pretty Partners we're strategy. right now. about to lot DigitalBridge got things ideas that right we're the of doing a optimistic We've that So do new very big pipeline for And new prosecuting our

Brent Penter

expect Investor we for one the XXXX . When should Day? me. last And

Marc Ganzi

I'll Severin you question? to that answer Severin, do leave to that want . White.

Severin White

Yes.

potentially looking we're think at I June.

more follow that. to on So

Operator

of with Our from Luebchow the next line question Eric Fargo. Wells is

Eric Luebchow

to wanted had have Obviously, continue see you update of there? then think, SDC, I that think you the to for the DataBank. the platform Could Vantage recap? Vantage development do on get you business? what of do deconsolidation thus from do in can and investors with maybe appetite data to more like the multiple fund us of separately, on kind And out you you assets center type DataBank stages the, . a far a of like And did SDC you of Vantage an of Just left remind initial have versus successful what XXx stabilized SDC. achieve you recap you've there more today

Marc Ganzi

Those Yes. great Thanks, Eric. questions. are

Let's start DataBank. with

easier one. I think that's kind of the

multiple First is to with tell since EDF, June saw I'm strong you is were today business, to which announced you What last as very we headline results, XXx. XX that close the of The transaction Life Digital Operating all, Swiss times. from and multiple was not the year-over-year. pleased

has its plan. DataBank massively business outperformed

stays history June fourth quarter today, That in on the that's leasing that fund, fact, of remember, continuation quarter. subscription In and Eric. its And until period open XX. the best company a fund, had

to subscribe So initial XX the price. at share all investors the can way June

have type So now have the continued and to lower have to and the company, multiple. patient investors been the clearly in chance invest to that the chance to look have mid-XXs at invest

down had to We've XX now has XXx. XX, entry closer to business say. to to I'm multiple XX pleased that to from the So managed take spectacular execution DataBank, at

of flight Switch we Deutsche what had Telekom. we number in Eric, a different did, and with So is initiatives

We quarter. the raise $XXX million, March So really about if X, We way to investors take doing correct, our X% June another to we takes in from in XX% ability I'm starting the the subscriptions or $XXX data again, turned DataBank million off good us feel work. that room all We're the about there. until X%. XX. us gets down about subscriptions Jacky, take we'll that we'll That that end fundraising actually roughly where of the XX do fundraising reigniting have and fourth

have the You'll on back the on raising. me give to up here numbers fund

Jacky Wu

no We're sure, now, under Yes that worries. us right take at will little XX% X%. and around a

Marc Ganzi

around conviction, business largely high an at is performing DataBank, the really pace. Eric, because incredible just So

we'll So at short continues same we're to here quality and at that a domestic optimistic in leases of with SDC, XX-year cash investment against Vantage players. Really It's business find close to that get investment-grade order. hard to the pretty that rate, its execute the entry cap story. that flows grade, price that of done XXX% plan. U.S. cloud

we're Middle Australia, but maybe imagine, the other the certainly pensions, that Australian there's wealth Asia world, finding Asian can between and you of and Eastern not parts U.S. East pensions, Middle as pensions, And funds sovereign yielding high-quality same the Vantage you of lot when would we initiated continuation a the already. that fund SDC entry appetite was price as a assets. it be And in sits know, as continuation again, fund, for

week, is got is of my in East. week some teams my team the of my in Asia in we've Part strong and And there. this fundraising, some team of momentum and next so Middle very Australia

laid It's fundraising, candidly confident our we're about Eric. the why that out. we've XXXX So we And that's strength. constantly feel really really guidance

of guidance with just again, that be is entirely to once new billion fundraising And clear $X-plus everyone.

beat expectation to that we're target. going an have that We

if sell XX% by call math Vantage the stake sort give stake, a So you sell X%. half was sell that what Do would the that? of which want Jacky that's the update about on we us in from if us we telegraphing take it, X again, on we to SDC way, of those. And might to

Jacky Wu

sure. Yes,

we'll over considerations, of would now, there. Vantage our SDC little a we're be with So and . recapitalization Obviously, deconsolidate opportunistic below get of X.X% to any to we sort position. XX% under ownership GAAP

Eric Luebchow

been there's me. the you. outlook you in clear air for income more year. Got earlier could portfolio helpful. help just one the Marc, debate so your the just this on where the based are That's bonds some Zayo within community, And fixed for traded around maybe

be outlook portfolio just and . us maybe growth update of and an helpful. give So fairly can the on performance you flow the would that that cash large asset,

Marc Ganzi

net had obligation company's like at certainly in really the but in a we're about under to strong We're Eric. very X.X% you, fourth growth I to forecasting net installs history quarter revenue the and organic We in of this strongest QX. sure. Yes, very, year But X.X% bookings roughly history Zayo. in asset, XXXX strongest anyway, talk quarter, no the company's that

election, our plant, led CapEx sales we've strength the a was the million We the it have rebooting management that redundancy the team invested then physical discretionary and make systems, building Candidly, routes spent the put at got which is strong. best-in-class network back-office in by and needed years last work Andrés over renovating repair. And last just redoing of $XXX sure Irlando. X certain more in the was to CapEx X team. into We years lot a

And right company. really pretty results. moves. all what indelible, and to the We're in the we've has that The see Zayo to a basis. So starting are customers that confident on Zayo routes the it difficult replicate very has nationwide made we're has

and the we cash so network And the of in quality and quality time, win. of know flows the know wins the we the customers

X in at focused better team, year. year. second to business it's that day it, and to sleep to performance I and I go we're last it, I We financial going, very sit on quite can plan Smith, set investors that and the involved Steve enjoy and of I in knowing that right and day and direction management night know for headwinds. we headed this the the the the battle We absolute with the had a had like where I'm show think I've business will and on that underwrote quarter deal. fix It's the I that one of the part personally that's quarters what since of Boards when a last been knew of

have we in conviction bonds. the strong So

Operator

The question next Markets. Atkin of line from is with Capital RBC Jon the .

Jonathan Atkin

year formation. the your or be kind in And just you family how folks how then might the the economy target structure. to repeat prior changed get has and kind conditions? on new Just going to the with discussions on of a overall that talk had Digital? the little maybe different questions largely macro and two of expecting of are cycles? just you've on And markets to simplification about to bit just capital capital or Can So in how this get a trying of new that capital sense costs you are to you get discussions what's financing what given and investors from investors

might kind repeat, you just think that the are this you around in deconsolidation? the to I of what but keep could time line milestones influence mind alluded to earlier, procedural to maybe

Marc Ganzi

Let take easier me the is one, which deconsolidation.

are laid I talking We've to think that got on out. we that investors place right just both in now assets. teams

period comes fund. committed the in we've That's continuation logos XX a room And fundraising. ends SDC deconsolidating line in those in Vantage the the work. first. $XXX comes assets this of of the both to on sort the when DataBank there that doing data I've target. We've got DataBank time think I you June million XX given year. second. subscription is

about combination, process. process just now, Korean pension that, there our on what's fundraising, at sovereign the are to sidelines also billions wealth and sitting in know right Verbal you'll around Vantage secondary sell roughly it's Japanese, level pension the give a And interesting Jonathan, down that funds. there funds, been quadruple of invited The funds, dollars just look you commitments there, a started. of you hundreds conviction almost DataBank particularly sense Australian as literally said, logos right to have funds, that. XX of if now SDC And are I follow

Ardian, set at also are that expert Blackstone So do quite and opportunity. like Partners Group, folks a assets. at It's are the who high-quality of looking really that secondaries

And hundreds of line is very you usually high win. are when the sidelines what there's I've that of my on few deals dollars of billions work, of always found sitting in chasing Jonathan, quality,

strong. of Vantage at folks is secondary it our to And just discount clear. level conviction as got we've looking at the be quality a assets the So well, not quite around

So a time I can't you give line. specific

deconsolidated. haven't that motivation assets understand the a day, yet. at But that guided look, deconsolidation. And on the of we end again, line of We get have process to these we of both people will put need the time the

lot simplify I be moving the IM think operating us they to that by a to met we've to been hearing of deconsolidating want going and and investors business from X is the with assets support.

worked And I'm low That we not need me doing you that and leverage and to have as I we it. us high absolutely of we know because having it delever us XXXX leverage liquidity the investors play today playbook market as for that's are we're fast that liquidity, a this. think I seminal getting how our that it because some do and in are earlier made XXXX. to comments works. high doing a worked I'm telling about for target our XXXX, like to in leverage Jacky can. business. It's back doing, and what And and XXXX sub-Xx by maintaining

infrastructure investor the to digital go known with offense, and So leverage, to low do. XXX% intend lot of firepower absolutely we be as a want liquidity play to we which

Partners DigitalBridge going Let's in on II. question, what's We fundraising about there. switch our gears Jonathan, first to fund, investors, had and your XX second

Strategy, stunning. I'm II our investors to days. strategy. That's Partners of been As we to of investors, last not over had our out launch investors our pleased say said we've those talking no investors, next out XXX to those Fund those pretty new XX the X already DigitalBridge

expect renewal to checks on rate investors, but Now I but denominator we'll that those an of get we XX% on XX% that renewal make XXX% effect don't capital, $X.X accepting XX% anticipating also billion will about the smaller. are about

smaller check where you XX% some does If that still at calculus an fundraising us? XX% rate, you take have do. to that lead and run So a

in for been $XX we XXX have that the a with been they typo, out dialogue new logos. We've to XXX billion. verbally about new doing we're not So have days, investors we've last indicated of that interest That's XXX that. have outreach

Keep raised best Leslie XX/X. in globally. salespeople We are and in the got Kevin XX business. we've Golden fund Smithen mind, the

diligence? have to predict yes? back-office that to probability what get probability are the they tools We probability the And the through investors what's What's are that sophisticated enable they What get very Where us the process? IC? to they in they doing? get

all So and this a the we we fundraising for year. good put that into pretty supercomputer, outcome get

not environment accept lot from we credit. walking that They're are walking incredibly away the renewable it's also from walking is choppy, that know Jonathan. away a and energy, investors Now not We digital investors they're turbulent, from have But not can choices. infrastructure, away happen.

had working. earnings. the obviously capital phone work. So renewables, in fundraising are February. next to until at I where again, sales successful digital liberty fundraising. And to the to But the quarterly around putting that. today, those is strategies we've infrastructure and credit successful have the that We're we're results and be in report everyone had We've very want are to fundraising data investors January. support and the got the are on team That not clear we in with strong dialogue conviction what doing We

conviction you're lot our Does Jonathan? in from if discussions call have away think based this going of I various on. you that taking who on again, is have a has So now the somebody help, fundraising we anything

Jonathan Atkin

it does. Yes,

Operator

is the with next Jade line Rahmani question from of Our KBW.

Jade Rahmani

designation real within difference or infrastructure infrastructure any does outlook? fall fundraising. of estate . question terms that Does A the digital about make and in

Marc Ganzi

go Partners to X, X Jade, X, from coming the you of real estate was It's XX% right? Strategy capital strategy infrastructure, DigitalBridge I'd Strategy and say back mean I buckets.

Strategy X, as look the much about all estate series And pretty what that doing $X.X infra real allocators. think of think our fund are don't and of XX% think You this I we're strategy, at real came capital billion, investors pivot point. products with we as estate at estate. it's about to new from real I forward looking

home that, of now capital think are it's our I head found -- is I infrastructure, is I pretty strategy the real infra. assets, in core is we're conversations we're venture Partners products. our money the And for infrastructure, of for out for think unless, Those we liquid flagship are we it's our strategy, or assets with course, our the with out strong. of our growth are what But different money underneath that and real conversations. . Jade -- have, connectivity CIOs raising mean, investors different DigitalBridge securities credit, it's raising those obviously

Jade Rahmani

broaden talking that could risk to overall with that's synergies Or focus does do you're focus? an fundraising there a your the So LPs create the opportunity to? you to all be and to to infrastructure, of respect think more dilute

Marc Ganzi

our as credit building plus strategy in scale in like scale We We've fundraising. -- Digital mentioned in we're because is No, team. fundraising Certainly, $XXX lot to management. And under terms InfraBridge is skilled we a our very there there. size get strategy. there. of of growth building last we FRE team to the way is look, guiding I'm renewable of our we I growth in the fundraising. like Jade $XXX almost energy. building product, the of call, big in get part engine, we I room invest the well. did to product. in And tripled a $XXX We a to billion like are lot think of million year SG&A obviously what way get There's for a to there of place on million digital logistics Certainly, and we we're there grow doing assets XXXX. the have us by core our at the

and X XX of have, bunch bringing up InfraBridge, have. didn't got from world-class they got to picked total We we a didn't bunch and we've team our they've logos that globally, fundraisers people of logos a

the and yet So did to Jacky can tell you, Jade. into fully in InfraBridge that to Ben I are great entirely Jenkins Wu integrated we're team Liam a synergies the day be X, the and integrating our But deal operations. apparent job street,

same on management for day we back and the accounting. was So the and closed, office fundraising page asset everybody

really back longer we integrate time just so little team. gave to more ground to InfraBridge. we're would Liam the Ben more the the it closed And liked office it integrate Jacky on and It gave to side time but Investment have a Management and running have hitting than the transaction, took

some right Partners that sizes synergies other strong I We're So now, but now. not just we and think albeit much place. close the will, lot DigitalBridge at we're to A -- strategies our check interest flagship a also right what this in fundraising have and in in We've got in it's which going think time right slightly bigger the in some other co-investment dialogue team. doing, smaller now we on clearly, the of of strategy, just going we're we capital, just year. vehicles

Jade Rahmani

last the environment. impacts the just And space? this that's in to LP question flow-through overall rate out invest and Does the to growth more Will create have on slow tech the any underlying appetite on rationalization broadly, the playing impact any in businesses. sector that

Marc Ganzi

towers, verticals the others. shared are growth results cells across than look, the you in data center fiber, is record So we from we faster fourth what which centers. have and Certain at XXXX today. is from levels small Organic growing quarter, data

attacks, of massively Hawaii. being private this out-leased We been the X on the certainly, cloud public I people private my last side. on that mean wanting that advantage. just powered security Digital I And the has. in Switch leasing cloud certainly, rise. cybersecurity a year think there's Equinix Tier and conversation PTC highlighted and And I is no cloud real Realty on it's outleased abatement in see rise renewable the because

securitizations, CEOs. as they've capital. we've So did at got By certainly, companies a our is right of free We've traps DSCR Jade, And in and access portfolio deck. good ratio highlighted very the cash a which to flow. those just X having securitizing minting We job teams. are cash got the our covenant only our got right I management most earnings companies, no

at public digital those centers. XX is businesses, We're LPs. in new moment to rents. are rents reinvest harvesting towers, pushing think We're right XX% the into new reinvesting in out infrastructure higher to We They're we're what center seeing down globally. so X% data dividends this the up cloud. doing And is the companies. cash not Data back up

single we're seeing rents, And tenant and we're better seeing on a so basis. higher returns

trimmed trimmed to plans So strong see We mobile CapEx very are But business do we do being enterprise We we all have and being XXXX. our for said, that do in in high see carriers. the by plans being all double-digit single-digit, year. CapEx of being business spend, trimmed organic cloud. growth CapEx funded see pointed fully next low

us. We narrative, strong play enabled had Partners, our Tower we XXXX and fixed the had liquidity. that like We played this debt So 'XX at lowered it but playbook companies. in out that in running Jade, company leverage. We for running us debt We're playbook, at the form to did and of that Global is one just at offense. same XX not we're securitized

So and liquidity anticipate you're said, We we're strong Severin multiplier the very global we're relationships. operating going today. It's XXXX. getting DigitalBridge, benefits getting strong great business, scale, X to as continents a having scale, at of truly to having force customer you're a remarkable see and a having

Operator

of with Cowen Elias line is question from Michael Company. & Our next the

Michael Elias

may. I if Two,

to are focus. businesses capital about on just how the thinking double call, deploy, I the I then verticals question how regions? if invest if for think incremental But could we year? of you a the supply Asia geographies then key be you talked to tailwind think a you just pricing that in by been be in least you're Marc, of you this talked maybe at flagged color to, you're earlier com you verticals your data for my as would par just of and prioritizing could on second see rise about capital you're the tighter occupancy. just also themes in. which believe evolving infra on looking chain you about click the that that First, the Any further across deploying that for across you has know And pricing, looking driven the space one center and

Marc Ganzi

question. good very It's Michael, always, As thoughtful.

Let's because try one second top to take of it's first mind. the

not Our business to XXXX plans pricing customers. in are higher on predicated

Let that. me repeat

on and 'XX playbook. when you. to and 'XX get that more. and 'XX and turn Had results good, the just predicating 'XX, growth That's our don't not markets are a back in customers run making pay We bad playbook our come customers I

shapes to more CapEx So and get we be capital certainly want they've don't when angry, gets gouge. someone the structure about got want their and who be customer we we and tend recovers how to We price pragmatic don't very price. to their the We liquidity accelerates, and then spending left behind.

other infrastructure admitted, for publicly-traded won't would do and back today. suffered they they But admit that. they admit, have it digital watched then, companies I've it. they'll

these learned is from and got down And past, always to up. past where we've So pick at customers look that the you you've cycles, look and right? this at

the in mortgage crisis the crash of because doing and had to very the of how the dot-com why care behave. XX follow. CEOs. putting this I'm reason taking a and And rates thing way about today. You growth will all on play clear don't We're with treat customers. same cycles. to to right we And them. knew our your them a way We're There's right those we We're growth step a incredible first. there's There's customers

away I moved Yes, we rents want pricing. from you haven't we up up. saying, moved the have conversation walk to Towers don't

pricing as we that pretty verticals pretty static select haven't data a select a and Michael, Fiber centers pricing in have rents one But data markets power and unique moved have stayed accordingly have and and stayed we Towers small would We we or in unique routes are static. permitting position center actually has cell position, expect. up. where space

So 'XX. do see in won't good as 'XX. good I was in It growth be growth the as

Looking at portfolio the companies, little the mostly first January quarter. we're in all Michael, can't on leasing ahead results much, but a plan, of I'd read you say the plan, slightly from bit

some is we're against Those and are when where talk times of checking in And in share conferences, check a fun to this, have plan? How half sort sense? I'll Where conference things out will good pretty your at is transparent halfway I I'm are CapEx pole, news going the us over that like monitor interesting you be the conversation through we're is so spending? think to the closely. and in you the get right, that and Where X rates? leasing? we? to figure with I the in Does going or Boulder summer hearing. we're all I with I'm pretty it the always then summer, to is year where at to make of race, we what you, think out with are are other

Michael Elias

comments. just where those capital. any focused on you're then deploying geographies color Appreciate the Absolutely. And on

Marc Ganzi

yes. Yes,

we right? about in Then DigitalBridge We Canada II. off that XX% I in about the XX%. Europe XX% we're fund the always DigitalBridge Partners XX% we So Europe, the of X%, mean, XX% about sort took to We little moved DigitalBridge there. X, decided and in Partners XX% in Fund and XX% U.S. at We U.S. was look of up XX% to we Latin in very the if put little to XX% XX%, -- look, to in put then to did There shifted in you risk X, a about Partners did LatAm. close bit, We shifting -- and put X America, go to Asia. in

So Asia our in part DigitalBridge X. was a Partners strategy big of

we're that year, perspective, there like some the I what I I this think highlighted an call seeing today, in like. as technicals on we for Asia. There's allocation from

infrastructure, started Michael, of they years ago. ago Asia. U.S. in XX the Asia sold a of continue to lot in sell where you're X, And carriers looking theater a good customers seeing big infrastructure we're last of going the the the lot a And mind, keep to And seeing same of so see sold. opportunities. going We're cadence is in We're be lot X to kind In years are infrastructure. on Europe, to our their selling

a think risk I off that me a Europe. bit. on little I'm that's telegraphing still So little

I is think the way through we play Europe dislocation.

of fiber-to-the-home in X bankruptcies some of We've X I looking last a to around those. weeks. been think the you've couple seen

high-quality for we a think So I going pay little don't in up opportunistic. more platforms Europe, we're in to be Europe.

U.S., business usual. it's I think in as the

like the But in are the will going areas of our across investing wouldn't think Canada. Latin winners up us the our and over standout some from in pretty we've Michael. the we've recessions capital. they like amount they U.S. had been home X the start I think X give we home be And don't We emerge for in But like things crazy think what like as big in some we're X then I to I in really X, see done I X It's U.S. in a America, do market. Asia about and the us on LatAm. consistent very years technicals. ago, the of the I here we limited next some Canada. in market funds markets. of again, last for the years those of seeing We geography,

Operator

the Securities. Our is of from line Riley next Day B. question Dan with

Daniel Day

all for on and the DataBank deconsolidation color the of Thanks Vantage.

divest, that line XXXX divestiture to impact just Is update those? still. going around on piece I that that a some the of think the of like laying of some the any spent of Capital of other noncore is for to Any kind time the pie guidance have plan other event? would Colony gave? simplification the the BrightSpire stuff that you you on . the And time we've DE legacy less assets shares, of be kind on

Marc Ganzi

digital this cash That put I remains work divesting about think that That IRR, IM assets. a that's all high intend doesn't year out noncore that rotate of we the clear well stuff the pretty as finished we'd time what would yield. we've high have to unchanged. be do, be and line that that been to M&A, of on good can

And the working. right us opportunity mean to in that's focus new continue clearly put the it on is I to strategy our because we'll more also then invest So to that. into gives us capital for that's digital. funds

incredibly is, that's guidance. sector-focused manager by this you'll beat of up putting strong So FRE what as I think is, year, usual, clean, incredibly our low-levered, an end goal is And numbers. asset see to the our

doing is I guidance. has our this team had beating of a history think rich long something that management

. look, So that. sure, any Jacky, on give on And has want -- incremental but you with been BrightSpire? to I'm BrightSpire, Jacky running color

Jacky Wu

sure. Yes,

we said shareholders sense and for It's divesting this to those But are it. always appropriate. we've continue that our we'd with other -- X and is the health assets, be selling other to legacy the it. are opportunistic Marc responsible And a will to noncore going work our then degree the to price the So focus sellers, to for we're said be the principal seller's to year makes -- but really with is note gone. Colony and monetize it much with which really Highgate get associated investments pretty care, that

left two. really with just we're . So those

Daniel Day

then I And the the fourth the Awesome. color appreciate quarter. common stock on repurchases in

mix an wondering been after and price far, you common, active and on authorization been those Just today? whether quarter XQ, you've 'XX end on you active is the as if in maybe that's how much average how of the so could preferred, been the give purchase if the . for have

Jacky Wu

Yes, perspective. to see was where of it it with basically taking continue a buyback . and opportunistic share $XX, Board sure. our It around at will from sense more to rest we work with be to the makes

Daniel Day

Okay.

activity sure. end. you are. on just just fine if you're quarter . any wanted be not to So to commenting repurchase I make -- That's after

Jacky Wu

We will authorization, if on point, so. comment do at an this have that do we but have not to I'll

Operator

the line Our with next is Choe JPMorgan. question Richard from of

Yong Choe

centers mainly little carrier Just to would on about thinking are companies Asia. Fiber? the investments it wanted follow in I see or in investing with to potential opportunity color up you be a get wanted or And Do more there. Towers, data sales . building? that more

Marc Ganzi

Liberty bit Yes. like with be Thanks, little Richard. surprised are in Look, have of with a Deutsche Europe. to it's everything, carrier Some Telekom, you like wouldn't right? we have but partnerships this, we hear of these

are Some of these straight acquisitions.

fertile. as We a a variety network. -- things. a want from a Some the get we lot edge seeing divested you and our be Fund what to customer. said we fundraising fertile tend And specific don't too potentially playground silent. in to I Asia. And a perspective. as we're be the know, of we're long-haul be of of as We're could did a working Richard, make could center's It obviously Asia with I a because perspective. It's interest we're carrier strategic. fertile in in their from what seeing customer run like before, then very a investors, -- perspective, It these pretty it's But incredible deal. I kind to suboceanic of move lot extremely divesting when Asian are It's because of Richard, we pretty dark Fund and announce conservative. data from of capital, assets, in out we II Richard, is interest carrier it's of do doing raise specific

later-generation looked strategy. they strategy, they looked strategies. our first So like to at in They second generally our invest at

sales So us the in had we we big ago, the will year kind we have for of people 'XX X surprise literally be X and fundraising Asia are Asia, a full-time now in And -- none. had absolute they rockstar which fundraisers.

that more last fundraising what in region a X next about a I've trips So not and I'm having strong fundraising Asia we're from pipeline taken there XX the Asia take presence in leading presence we're buoyant the a perspective. days. excited. seeing from to perspective, a literally days, perspective, I'll trips pretty pretty XXX to X a we region that from and in went in from having

investment Our Singapore office professionals now. has XX full-time

we've on and we've the team be you are to we those information. ingredients So street, the successful. And the right got right set capital we're like right -- need feel opportunity got the

Yong Choe

for how Switch. throughout And just in multiple you premium I there's the to mentioned parts the and And this back, circle think perception that bits Great. very like Any you've paid it's a some update to But Q&A. it's given maybe that? as high of you there assume. performed, that it provide kind can not as want seems on you . that nearly clarify people

Marc Ganzi

being the sometimes those since you XX public we And you of of team be. do -- you were a we They a we I being you has company. where run Richard, leasing company gave time. of the it's kind constrained all we'd it's go that business management I'll in company. We But public. when got performs It's capital, check quarter-to-quarter. Hawaii not pretty Look, of private did of that it's just better to pipeline thought know. should years just pretty because is highlights know, Richard, XX can Yes. out we're going That's The tough quadrupled that as megawatts, give that, had about the we the a speech we stories, pointed thought X were which to one And bought detailed. speech, megawatts. ahead a is you versus

and company to for And off for built it's private not allowed long-term it Just well cadence. investments, right really public decisions the the bringing make market the right paid us.

and this doesn't and it results and is pretty We a there's just XXx enterprise the centers Whoever performing not for meeting well. anymore. putting guys week, We're XXX nowhere business Renewable nice outstanding. major Fortune renewable to the it's this energy players, for narrative, table near government for have, stakes. that out data just it's the for are leave be cloud in These have it XXX% U.S. had right there. information, the I'll a is energy. in companies to Business Board where want

alternative are And We're to is no say I the in would power. markets now Switch is shut have the and last thing just down places. that

alternative Reno has for example, to Texas nice Dallas Northern the a is Houston. -- Grand to be Virginia. Silicon Rapids out to Austin, to So Valley. the and alternative alternative turned is

control own center of million feet and square high-growth our estate. data next land. we're We're in so really power. gigawatts the for permitted And good we real the We space, XX markets. have fully We X.X of unused

advantage these in and feet markets. of land, us So unconstrained square a rentable of of the lot huge a a of some power combination a lot put having lot has being of and in

And is so today. that's the why business it crushing

private asset. to do continue in excited doing it's to a Switch. at what going for in we're epically outperformance Asia. really we And that see I'm we so in what blueprint cloud in we're and about do And Europe what

-- with market interesting took We a data we're is for really Asia. We private took there's X centers not think to The renewable Europe, Vantage. power we stopping product. there. we Tier to like So Vantage did Vantage

next. And so looking Switch the we're we do future. at take Where that into

Operator

the is question next with Our Bank. Niknam line Deutsche of Matt from

Matthew Niknam

ones, just could. But I quick if two

Jacky, could just incremental First, about deal the some the the infrastructure mid-market, InfraBridge, just if provide in the some and it up on synergy then of maybe DigitalBridge And business. IM talk you for near-term for inflationary of the this maybe imply your to opens opportunities year $XX scaling. corporate $XX you at meaningful the to business out XXXX and time about overhead is we're from targets headwinds put seeing secondly, million million when goes a in obviously

So wondering level you talk I'm and confidence just those your about if could shrinking costs. actually overhead corporate

Marc Ganzi

already million Well, $XX I the CFO Jacky this corporate year. business the that we're together. put take guide out to in discussions think and do the a look, steps are going cost of overhead and out CEO We've have of I to taken The that.

on ago. team. in there rate cost You'll had pulling see of of a good now a the some lot trimming it's some We on more in duplication great investment prudent We're getting run office of back the variety team. impact it terms quarter, We're trimming We're the of some reporting has the really fourth the job. directions. done of measures synergies a by but just his Jacky business, business. we when of taking give and think continue back out we the we and a they're And couple of the I fund to a Jacky financial our side can to of merger efforts cost did team, of credit side. of accounting the years pull out

it get year-over-year. We didn't done. Bonuses are down

took coming business. out new business, narrative, X to task Jacky this taking the bring you're going compensation see from with it's tone strong commitment to I cost investors to doing is the companies it all CEO with up and year by right we're about is So shareholders. a and that setting year and earnings that's year-over-year, the dead of much a bonus this A down you'll going the This that, to lower do. be just Ever since right thing and putting serious and potential I back previous, these taking with very management starts us. took than the see team of on about of together the the

about talked profitability. I

be will very this We year. profitable

high need at people new important fundraising last out fund adding now. comes added incredibly We're billings will Jacky other about products, and to thing business, As of margin. the on year. the taking catch-up the not you all an cost right the people We That's know. tell the you

your lot why confidence this. conference that's on a looking -- the deeper And the Monday talking of even you going so seeing margin certainly and to to you're in and increase forward in Matt at next

are don't think I grasping here. what fully people But done we've

managers, don't guide generated You I we the of manager by next year-over-year. the to pieces growth planet strong is look the leverage another enough. of know we'll FEEUM that asset 'XX. last and XX% FEEUM deconsolidated, year, next And year of We of taking at leverage are. year, we're about XX% once of $XX.X where we're at in same in FEEUM alternative down. up that of say about zone we going dead you billion they're telling Can't asset that midpoint going. the our look sort place as going in the have this Like we're team is keep we're right put talking growing investors, other $XX to put and on billion serious

on -- things, follow this as of and and And are So numbers. are we're to doing all those deep as to I'm as you wish go results we're go year. and any happy happy going happy the guidance right the to to Jacky I discuss

it because taking of out cuts overhead. the and Matt, million costs the What absorbed was SG&A I the was question first first lost question? of in $XX your the corporate

Matthew Niknam

was It just around worries. No InfraBridge.

wondering, infrastructure near-term mid-market, the Just incremental synergy maybe provides. in of opportunities some deal the the

Marc Ganzi

infra, look, people have digital in middle the is Well, doing middle-market market X infra. immediate synergies they

they've investments, so X of And XX% latest fund digital. their got is

like go they bench got Expedia of having you've them. XX to a Everstream, to people businesses when from so XXX help and and And

pretty excited to with can be you value imagine, be of that there's delivered As our to ton we're team and is and there. leaning add helping their on team in because we're investments, a

up. about in the I Brian about We So team. Alice say team. we of excellent and investment can't had an fundraising the Asia. immediate talked synergies around They fundraising. enough Lee that some fundraisers picked

half right the really had which world-class were ago XX fundraisers, we I fantastic a DigitalBridge for of days, more And LPs couple were sales mean, weeks XX picked chance to I some half able fundraising, in which it's is be be team. and up to LPs, Europe and what clients, doing LPs, touch now. of a go saw bigger to have we're just InfraBridge

payback So in already the where the of doing Jacky, to you on with there. InfraBridge want back you do we're seeing about side. office, talk fundraising see the and cost you're synergies what Jacky, some the

you a and investable I plan, other asset You're plan there. in and about get you've well we ahead, come ahead targeted your can talk class synergies how of think on really And Go then back InfraBridge. got Jacky.

Jacky Wu

sure. Yes,

looking and Market -- office plug fact have those So I underwrote took the closer FRE in had I ERP over right into at into think millions, one, principally funds really processes. overlays the low we that and obviously. multiple been back scalable now and our XX, to DigitalBridge, had mid-XXs and It's now Colony consolidated we've to systems. first now when play our we we're first deal, of and the we towards that's able plug because

If at we've down years of top echelon look the everybody sizably. pretty prudent their was couple just even you in that a MD an website back, and now effectively neighbor

So it's streamlining, processes and be equity. to just efficient and with systems, both and meritocracy and trying working also and more smarter titling much

of amount but go have of to in for more beat So work needs us us to doing it efficient miss those certainly, not things it. terms to be allowed allows on, a that much with

Operator

you. Thank

Marc are closing back floor to this there like no to As time, turn . would over Ganzi further comments. at I the for questions

Marc Ganzi

you thank you today. your of Well, time all thank you, for and

is not down an and risk guidance an That's shareholders. importantly, We about. point. We that growth. sheet. we're confident year. at I on point going level and next But want we to out for very easy in a It and not Jacky of we're most more is We've leverage, company's And it's year. in inflection sake team this balance M&A, inflection guidance think the a I next we to to that leverage. the moment advantage of more exceed. history, this There's level take company's pivotal guidance these I for can believe the laid hit is that our do the think management is temptation do markets taking are that prioritize what

blocks in building to is where the you have to is organic out achieved growth, and us execute, which execute We go way want the returns. we the place which highest

year of growth to plus industry-leading. of a Our realize CAGR of will on underwritten is that we capital which at capital have $X-plus formation size as come not to believe billion told continue company that We that, for going we margins. $X this our and Jacky we billion great deliver we're investments, in believe And also guidance, to incredibly high addition will in our earlier. you the

out will around metric The XX-plus target billion to a our beat FEEUM those in $XX.X And my exceed is have the is goal and ability and industry-leading, percent realistic us. billion for supreme front be to done that as growth we've in conviction of on we hit to numbers. street. $XX put every with we've

end look, of the So the execution. about day, it's at

doing you've capital portfolio today a of and at time, think I same fashion growing in running out very we're what granular the us how with of companies terms key there offense in strength from from formation, prudence we're heard and our customers. with playing

And matter. things then are the but preserving not liquidity that company. least, deleveraging These and last the

appreciate support You and to and doing. be trusted that Bye-bye. have we'll a a you if And confident there your time, to there at we a want and going soon. very that's Have been and myself a out year, Stay and in have and conversation wartime and we're patience done weekend. are to with with DigitalBridge. with I we're your go always, your time before. any of Jacky Severin, us. be a disappoint, good in and available to won't before, appreciate CFO execute. CEO what done and we want care, as all it great we're Take We you Jacky touch going with to that's are us, in been

Operator

concludes you. This teleconference. Thank today's

disconnect may lines participation. your You time. at for you Thank your this

DigitalBridge (DBRG) 24 Feb 232022 Q4 Earnings call transcript