TenPeaks launches NZ data centre group after Spark carve-out

TenPeaks has launched as a standalone data centre owner, operator and developer in New Zealand after being carved out of Spark, the country's largest telecommunications group.

The business begins with 11 facilities providing 23MW of IT capacity and a development pipeline of more than 130MW on land it owns. Three major development campuses are in Auckland, a key market for hyperscale build-outs and sovereign cloud deployments.

Under the carve-out, Spark retains a 25% shareholding and Pacific Equity Partners holds 75% through its Secure Assets strategy. Spark remains a strategic partner and major customer.

Growth pipeline

TenPeaks has flagged more than NZ$3 billion of projected investment tied to its current development pipeline, rising to an estimated NZ$6 billion when including customer IT infrastructure installed inside its facilities.

The growth plan focuses on adding capacity in Auckland, where global cloud providers have established sovereign cloud services. The city is also a landing point for submarine cable systems connecting New Zealand to international networks.

Market forecasts cited by TenPeaks point to rapid growth in the Auckland data centre segment, with demand expected to rise at a compound annual growth rate of about 21% over the next five years.

A separate industry study suggests a longer runway for investment in New Zealand. Research by Boston Consulting Group described data centres as strategic infrastructure and estimated the country could unlock up to NZ$70 billion of economic activity over the next decade by delivering 600MW of new data centre capacity.

Ownership structure

Pacific Equity Partners said the investment reflects its focus on infrastructure-style assets that require significant capital to expand. The firm reports AUD$18 billion of assets under management across strategies, has made more than 200 investments since 1998, and has completed AUD$56 billion of transactions, including acquisitions and exits.

The data centre sector has attracted sustained investor interest across Australia and New Zealand as cloud and AI use rises. Developers and operators have sought land, grid connections and long-term customers, while governments and regulated industries have increased their focus on data sovereignty and operational resilience.

Management team

Michael Stribling leads TenPeaks as chief executive officer, and Rob Woodgate has joined as chief financial officer. Woodgate previously held CFO roles at Fulton Hogan and Ryman Healthcare.

Pacific Equity Partners linked the investment to the role of data centres in national infrastructure. "Data centres are essential digital infrastructure that underpin society's growing digital needs. We are proud to partner with Spark and support TenPeaks as it, and the New Zealand market, enter a period of transformative growth," said Andrew Charlier, managing director at Pacific Equity Partners.

Stribling said TenPeaks is positioned to meet customer needs and support future build-out.

"TenPeaks has been established as a dedicated digital infrastructure platform to support New Zealand's growing requirements for cloud, AI and sovereign data solutions. Our national footprint and scalable development pipeline positions us to support customers today and into the future," said Michael Stribling, chief executive officer of TenPeaks.

Another Pacific Equity Partners executive said the deal aligns with its broader approach to infrastructure investment. "TenPeaks reflects our strategy of partnering with strong management teams to build scaled, long-life infrastructure platforms that support economic growth and deliver essential services," said Hattersley.

Energy and efficiency

TenPeaks said sustainability and resilience are central to its strategy, with a goal of sourcing 100% renewable electricity for its operations.

New developments are being designed for high-density workloads linked to newer cloud and AI deployments. TenPeaks highlighted its newest data centre in Takanini, which it said has achieved a power usage effectiveness (PUE) below 1.2.

TenPeaks is expected to pursue further campus expansions beyond its current pipeline, with Auckland likely to remain central given demand drivers, international connectivity and the presence of major cloud providers.