Rackspace Nears $275M in Restructuring Plan with Creditors: Report
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 12 2024
0mins
Should l Buy RXT?
Source: Benzinga
Rackspace reportedly finalizes creditor deal for $275M in new funds, restructuring debt and repayment terms.
Debt exchange offer to favor negotiating creditors, reflecting a trend in financial restructuring.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy RXT?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on RXT
Wall Street analysts forecast RXT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RXT is 1.48 USD with a low forecast of 1.30 USD and a high forecast of 1.75 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
0 Buy
3 Hold
0 Sell
Hold
Current: 0.450
Low
1.30
Averages
1.48
High
1.75
Current: 0.450
Low
1.30
Averages
1.48
High
1.75
About RXT
Rackspace Technology, Inc. is an end-to-end hybrid, hybrid cloud, and artificial intelligence (AI) solutions company. The Company designs, builds, and operates its customers’ cloud environments across all technology platforms, irrespective of technology stack or deployment model. The Company operates through two segments. Its Public Cloud segment is a service-centric, capital-light model providing value-added cloud solutions through managed services, elastic engineering and professional services offerings for customer environments hosted on the Amazon Web Services (AWS), Microsoft Azure and Google Cloud public cloud platforms. Its Private Cloud segment is a technology-forward, capital-intensive model providing managed service offerings for customer environments hosted in one of its data centers as well as in those owned by customers or by third parties. Private Cloud product portfolio includes Programmatic Infrastructure, Cloud Operating Systems, Platform-as-a-Service, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Rackspace Technology Achieves VMware Sovereign Cloud Partner Status, Enhancing Data Protection Capabilities
- Sovereign Cloud Partnership: Rackspace's UK Sovereign Services has achieved VMware Sovereign Cloud Partner Status, indicating its capability to store, process, and protect sensitive data for UK organizations, thereby enhancing its market position in regulated industries.
- Private Cloud Platform Benefits: The service offers a fully managed private cloud platform specifically designed for organizations requiring strict data control, combining high availability, resilient networking, and integrated security controls to reduce operational complexity and accelerate cloud adoption.
- Support for Public Sector: Rackspace's digital Sovereign Cloud enables organizations to optimize private cloud architecture, ensuring mission-critical applications deliver predictable performance and enhanced security, marking a significant support for the UK public sector and demonstrating its commitment to regulated industry clouds.
- Compliance and Data Sovereignty: The VMware Sovereign Cloud Partner Status ensures data remains under local control and adheres to national data privacy and security regulations, with Rackspace partnering with public sector organizations, financial services, and healthcare providers to deliver end-to-end solutions, further solidifying its market position.
See More
Rackspace Positioned as Leader in 2025 ISG Multi Cloud Services Report
- Industry Leadership: Rackspace Technology has been recognized as a leader in the 2025 ISG Provider Lens Multi Cloud Services Report for midmarket consulting and transformation services, managed services, and FinOps services, showcasing its strong competitive position in the multi-cloud solutions space.
- AI-Driven Optimization: The company enhances management efficiency in multi-cloud environments by integrating AI and automation technologies, enabling rapid recovery, cost reduction, and improved customer experience, thereby solidifying its market position.
- Focus on Midmarket: D K Sinha, President of Public Cloud at Rackspace, emphasized the company's commitment to helping midmarket organizations modernize with confidence, optimizing costs and accelerating time to value through advisory-led transformation and AI-powered automation.
- Comprehensive Service Capability: Rackspace offers end-to-end multi-cloud technology services, capable of designing, building, and operating customers' cloud environments across all major technology platforms, ensuring support at every stage of their cloud journey.
See More
Rackspace Positioned as Leader in 2025 ISG Multi Public Cloud Services Report
- Leadership Recognition: Rackspace Technology has been positioned as a leader in the 2025 ISG Provider Lens™ Multi Public Cloud Services Report for midmarket Consulting and Transformation Services, Managed Services, and FinOps Services, highlighting its excellence in managing multi-cloud environments.
- AI Integration Advantage: The company enhances operational efficiency for enterprises in multi-cloud environments by integrating AI, automation, and Generative AI into its offerings, enabling rapid recovery, cost reduction, and improved customer experience.
- Focus on Midmarket: D K Sinha, President of Public Cloud at Rackspace, emphasized the company's commitment to helping midmarket organizations modernize with confidence, optimizing costs and accelerating time to value through advisory-led transformation and AI-powered automation.
- Comprehensive Tech Services: Rackspace offers end-to-end multi-cloud technology services, supporting customers in designing, building, and operating cloud environments across major technology platforms, ensuring support at every stage of their cloud journey.
See More
Niterra Partners with Rackspace for Rapid SAP Migration to Google Cloud in Two Months
- Accelerated Digital Transformation: Niterra partnered with Rackspace to successfully migrate its SAP ECC environment to Google Cloud in just two months, which is less than half the industry standard, significantly enhancing the company's digital capabilities and market competitiveness.
- Data Center Consolidation: The migration also involved consolidating three data centers located in Dubai, Johannesburg, and Frankfurt, optimizing the global IT infrastructure, reducing operational costs, and improving resource utilization.
- Security and Stability: Rackspace designed a secure Google Cloud landing zone for Niterra, ensuring no performance issues or downtime during the migration, which safeguarded the continuity of critical business processes and enhanced customer trust.
- Foundation for Future Innovation: This successful migration not only achieved immediate operational stability but also laid a strategic foundation for Niterra's future innovations on Google Cloud, showcasing the potential and prospects of enterprise transformation.
See More
Niterra Partners with Rackspace for Rapid Migration to Google Cloud in Two Months
- Accelerated Digital Transformation: Niterra partnered with Rackspace to successfully migrate its SAP ECC environment to Google Cloud in just two months, which is less than half the industry standard, significantly enhancing the company's digital capabilities and market competitiveness.
- Data Center Consolidation: The migration also consolidated three data centers located in Dubai, Johannesburg, and Frankfurt, optimizing the global server architecture, reducing operational costs, and improving resource utilization efficiency.
- Secure and Stable Migration: Rackspace designed a secure Google Cloud landing zone for Niterra, ensuring the seamless transfer of 4TB of critical business data without any business disruption, thus maintaining continuity for key processes like logistics and warehouse management.
- Foundation for Future Innovation: This successful migration not only achieved operational stability but also laid a strategic foundation for Niterra's future innovations on Google Cloud, demonstrating the fast, secure, and disruption-free future of enterprise transformation.
See More
Rackspace Technology Recognized as AWS Leader in Six Quadrants in 2025 ISG Report
- Leadership Recognition: Rackspace Technology has been identified as a leader in four quadrants of the 2025 ISG Provider Lens AWS Ecosystem Partners Report, including AWS Professional Services and AWS Managed Services, showcasing its robust capabilities in cloud and AI solutions.
- Strong Performance in Germany: The company is also recognized as a leader in AWS Professional Services and AWS Managed Services in Germany, further solidifying its market position and influence in Europe.
- Global Certification Advantage: With over 2,700 AWS certifications and 19 AWS competencies, including Generative AI, Rackspace demonstrates global recognition in technical expertise and service capabilities, enabling clients to drive innovation and achieve business outcomes.
- Comprehensive Service Capability: Through its proprietary AI tools (FAIR™, RITA, and ICE), Rackspace delivers end-to-end AWS services that facilitate workload optimization and application modernization, accelerating innovation and achieving measurable business results for clients.
See More
Rackspace Technology Achieves VMware Sovereign Cloud Partner Status, Enhancing Data Protection Capabilities
- Sovereign Cloud Partnership: Rackspace's UK Sovereign Services has achieved VMware Sovereign Cloud Partner Status, indicating its capability to store, process, and protect sensitive data for UK organizations, thereby enhancing its market position in regulated industries.
- Private Cloud Platform Benefits: The service offers a fully managed private cloud platform specifically designed for organizations requiring strict data control, combining high availability, resilient networking, and integrated security controls to reduce operational complexity and accelerate cloud adoption.
- Support for Public Sector: Rackspace's digital Sovereign Cloud enables organizations to optimize private cloud architecture, ensuring mission-critical applications deliver predictable performance and enhanced security, marking a significant support for the UK public sector and demonstrating its commitment to regulated industry clouds.
- Compliance and Data Sovereignty: The VMware Sovereign Cloud Partner Status ensures data remains under local control and adheres to national data privacy and security regulations, with Rackspace partnering with public sector organizations, financial services, and healthcare providers to deliver end-to-end solutions, further solidifying its market position.
See More
Rackspace Positioned as Leader in 2025 ISG Multi Cloud Services Report
- Industry Leadership: Rackspace Technology has been recognized as a leader in the 2025 ISG Provider Lens Multi Cloud Services Report for midmarket consulting and transformation services, managed services, and FinOps services, showcasing its strong competitive position in the multi-cloud solutions space.
- AI-Driven Optimization: The company enhances management efficiency in multi-cloud environments by integrating AI and automation technologies, enabling rapid recovery, cost reduction, and improved customer experience, thereby solidifying its market position.
- Focus on Midmarket: D K Sinha, President of Public Cloud at Rackspace, emphasized the company's commitment to helping midmarket organizations modernize with confidence, optimizing costs and accelerating time to value through advisory-led transformation and AI-powered automation.
- Comprehensive Service Capability: Rackspace offers end-to-end multi-cloud technology services, capable of designing, building, and operating customers' cloud environments across all major technology platforms, ensuring support at every stage of their cloud journey.
See More
Rackspace Positioned as Leader in 2025 ISG Multi Public Cloud Services Report
- Leadership Recognition: Rackspace Technology has been positioned as a leader in the 2025 ISG Provider Lens™ Multi Public Cloud Services Report for midmarket Consulting and Transformation Services, Managed Services, and FinOps Services, highlighting its excellence in managing multi-cloud environments.
- AI Integration Advantage: The company enhances operational efficiency for enterprises in multi-cloud environments by integrating AI, automation, and Generative AI into its offerings, enabling rapid recovery, cost reduction, and improved customer experience.
- Focus on Midmarket: D K Sinha, President of Public Cloud at Rackspace, emphasized the company's commitment to helping midmarket organizations modernize with confidence, optimizing costs and accelerating time to value through advisory-led transformation and AI-powered automation.
- Comprehensive Tech Services: Rackspace offers end-to-end multi-cloud technology services, supporting customers in designing, building, and operating cloud environments across major technology platforms, ensuring support at every stage of their cloud journey.
See More
Niterra Partners with Rackspace for Rapid SAP Migration to Google Cloud in Two Months
- Accelerated Digital Transformation: Niterra partnered with Rackspace to successfully migrate its SAP ECC environment to Google Cloud in just two months, which is less than half the industry standard, significantly enhancing the company's digital capabilities and market competitiveness.
- Data Center Consolidation: The migration also involved consolidating three data centers located in Dubai, Johannesburg, and Frankfurt, optimizing the global IT infrastructure, reducing operational costs, and improving resource utilization.
- Security and Stability: Rackspace designed a secure Google Cloud landing zone for Niterra, ensuring no performance issues or downtime during the migration, which safeguarded the continuity of critical business processes and enhanced customer trust.
- Foundation for Future Innovation: This successful migration not only achieved immediate operational stability but also laid a strategic foundation for Niterra's future innovations on Google Cloud, showcasing the potential and prospects of enterprise transformation.
See More
Niterra Partners with Rackspace for Rapid Migration to Google Cloud in Two Months
- Accelerated Digital Transformation: Niterra partnered with Rackspace to successfully migrate its SAP ECC environment to Google Cloud in just two months, which is less than half the industry standard, significantly enhancing the company's digital capabilities and market competitiveness.
- Data Center Consolidation: The migration also consolidated three data centers located in Dubai, Johannesburg, and Frankfurt, optimizing the global server architecture, reducing operational costs, and improving resource utilization efficiency.
- Secure and Stable Migration: Rackspace designed a secure Google Cloud landing zone for Niterra, ensuring the seamless transfer of 4TB of critical business data without any business disruption, thus maintaining continuity for key processes like logistics and warehouse management.
- Foundation for Future Innovation: This successful migration not only achieved operational stability but also laid a strategic foundation for Niterra's future innovations on Google Cloud, demonstrating the fast, secure, and disruption-free future of enterprise transformation.
See More
Rackspace Technology Recognized as AWS Leader in Six Quadrants in 2025 ISG Report
- Leadership Recognition: Rackspace Technology has been identified as a leader in four quadrants of the 2025 ISG Provider Lens AWS Ecosystem Partners Report, including AWS Professional Services and AWS Managed Services, showcasing its robust capabilities in cloud and AI solutions.
- Strong Performance in Germany: The company is also recognized as a leader in AWS Professional Services and AWS Managed Services in Germany, further solidifying its market position and influence in Europe.
- Global Certification Advantage: With over 2,700 AWS certifications and 19 AWS competencies, including Generative AI, Rackspace demonstrates global recognition in technical expertise and service capabilities, enabling clients to drive innovation and achieve business outcomes.
- Comprehensive Service Capability: Through its proprietary AI tools (FAIR™, RITA, and ICE), Rackspace delivers end-to-end AWS services that facilitate workload optimization and application modernization, accelerating innovation and achieving measurable business results for clients.
See More
