Cordiant Digital Infrastructure — Index inclusion underpins the re-rating case

Cordiant Digital Infrastructure (LSE: CORD)

Last close As at 14/08/2026

GBP1.24

1.00 (0.82%)

Market capitalisation

GBP946m

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Research: Investment Companies

Cordiant Digital Infrastructure — Index inclusion underpins the re-rating case

Cordiant Digital Infrastructure’s FY26 results (year-end 31 March 2026) cap a five-year record of compounded NAV and dividend growth, supported by continued operational delivery across its six-platform portfolio. The NAV total return was 16.3% on ex-dividend opening NAV, or 12.3% before forex, while the 4.45p dividend increased by 2.3% and remained 1.7x covered by adjusted funds from operations. UK 250 index inclusion, effective 22 June, should broaden the shareholder base and improve liquidity. With the shares trading on a c 16% discount to NAV, we believe the re-rating case rests on this delivery being recognised and the portfolio’s growth opportunities.

Written by

Milosz Papst

Director of Content, Investment Trusts

Investment companies

24 June 2026

Price 124.00p
Market cap £949m
Shares in issue 765.7m
Code/ISIN CORD/GG00BMC7TM77
Primary exchange LSE
AIC sector Infrastructure
Financial year end 31 March
52-week high/low 128.0p 90.6p

Fund objective

Cordiant Digital Infrastructure is a specialist investment company focused on owning and operating digital infrastructure assets (including data centres, fibre-optic networks, and telecommunications and broadcast towers) across Europe and North America.

Bull points

  • Six platforms across five countries, driving a 73.3% NAV total return since IPO and a rising dividend.
  • Conservative balance sheet (40.1% gearing, 4.6x net leverage, 71.4% fixed-rate debt, no maturities before 2029) and a low, market-cap-based fee.
  • UK 250 index inclusion, Prague Gateway and AI-led demand offer re-rating and growth catalysts.
  • The integration of BT Ireland by Speed Fibre Group, which should continue to be accretive over the next 12-18 months

Bear points

  • Shares persistently trade at a c 16% discount to NAV.
  • Recent customer churn and project phasing may weigh on near-term performance.
  • Hudson remains an underperforming asset, and forex gains boosted the headline return (12.3% before forex).

Analysts

Milosz Papst
+44 (0)20 3077 5700
Yana Mihaylova
+44 (0)20 3077 5700

EDISON QUICKVIEWS ARE NORMALLY ONE-OFF PUBLICATIONS WITH NO COMMITMENT TO WRITING ANY FOLLOW UP. QUICKVIEW NOTES USE CONSENSUS EARNINGS ESTIMATES.

Buy, Build & Grow drives consistent expansion

The investment case is based on on its Buy, Build & Grow model, under which Cordiant has raised and deployed £795m of equity into six platforms across five countries at attractive prices and expanded them organically and through bolt-ons. Adjusted portfolio EBITDA grew 7.8% on 9.9% revenue growth at constant currency, supported by contract wins, inflation-linked escalators and 10 tuck-under deals since IPO spanning towers, data centres, cloud and fibre. Organic wins included MUX-6 and České Radiokomunikace’s (CRA’s) DAB+ expansion, build-to-suit towers for Orange and major national broadcaster contracts. We see CRA’s Prague Gateway, a Tier III+ 26MW data centre and EU AI Gigafactory candidate, as a significant growth opportunity, driven by AI, cloud and data-sovereignty demand.

Capital discipline supports a covered dividend

Capital allocation remains balanced across growth capex, bolt-ons and a progressive dividend, with the 4.45p payout covered 1.7x by adjusted funds from operations and 5.1x by EBITDA. Net leverage of 4.6x (net debt/EBITDA) sits comfortably below the c 6.5x peer average, while gearing of 40.1% (net debt/GAV) remains well within the 50% policy limit, with 71.4% of drawn debt fixed and no maturities before June 2029. The management fee is charged on market capitalisation rather than NAV, keeping costs low and interests aligned, alongside 2.3% insider ownership.

A persistent discount, with catalysts to close it

At 124p the shares trade at a c 16% discount to the 146.0p NAV, despite a 73.3% NAV total return since IPO and forward visibility from £952.1m of contracted revenue extending to 2044. We believe the discount reflects sector-wide sentiment rather than company-specific issues. With index inclusion improving liquidity, the dividend well covered and structural demand intact, we see scope for the discount to narrow as the five-year delivery record is more fully recognised, though near-term performance will reflect recent customer churn and project phasing.

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