Street Approves Of DuPont Fabros Merger With Digital Realty

DuPont Fabros Technology, Inc. DFT shares are trading higher by $7.90 (12 percent) at $63.26 in Friday's session and shares of Digital Realty Trust, Inc. DLR are trading nearly unchanged at $116.75.

Earlier, the companies announced they have entered into a definitive agreement under which DuPont Fabros will merge with Digital Realty in an all-stock transaction. Dupont Fabros shareholders will receive 0.545 of Digital Realty shares.

That conversion rate has investors scrambling to purchase shares of Dupont Fabros and has propelled the stock to a new all-time-high at $63.46. That far eclipses its former all-time high made on June 2 at $56.50.

The transaction between the two REITs is expected to close in the second half of 2017.