On Tuesday Iron Mountain (IRM) announced that its Board of Directors has unanimously approved a plan for the company to pursue conversion to a Real Estate investment Trust (REIT). The decision follows pressure from investors, which last year led the document storage company to sell its digital business to Autonomy PLC. The divestiture made it simpler for Iron Mountain to consider a REIT structure for the remainder of its business.
The stock market seemed to agree with Iron Mountain’s plans, with the stock jumping over 10 percent since the announcement. Last February colocation provider Equinix announced it was seriously examining whether it made sense to convert to a REIT as well. Cincinnati Bell is in the process of spinning off its CyrusOne unit through an IPO, most likely using a REIT structure.