Digital Realty (NYSE: DLR), the largest global provider of cloud- and carrier-neutral data centre, colocation and interconnection solutions, today announced the successful completion of its previously announced agreement to acquire a majority interest in Teraco, a leading carrier-neutral data centre and interconnection services provider in South Africa, from a consortium of investors, including Berkshire Partners and Permira, in a transaction valuing Teraco at approximately $3.5 billion.
The acquisition of Teraco adds South Africa to Digital Realty's three existing markets on the continent, including Kenya, Mozambique, and Nigeria. The strategic importance of these four markets has been enhanced by the recent and ongoing implementation of new subsea cable networks encircling Africa. Combined with Digital Realty's highly connected facilities in Marseille, our customers have a range of strategic connectivity hubs from which to serve all corners of the African market.
As South Africa's largest and most densely interconnected data centre platform, Teraco supports the rapid growth of the continent's internet community through its expanding portfolio of data centres. Teraco's experienced management team, growing multi-national customer base, quality infrastructure and ownership of NAPAfrica, the continent's largest Internet Exchange Point, are key differentiators that position the company for sustainable growth.
“We are very excited to complete this transformative transaction that positions Digital Realty as the premier data centre and connectivity provider on the high-growth African continent,” says A. William Stein, Chief Executive Officer, Digital Realty. “Today's milestone gives us significant regional scale and access to a premier, high-quality portfolio in Africa's largest market, enhancing our ability to serve growing customer demand for connectivity in the region. We're thrilled to strengthen our global platform and deepen our commitment to investment in Africa, as we capitalize on the tremendous opportunity in the region.”
“Teraco has made significant progress in achieving our strategic objectives, including improving the connectivity and accessibility of our data centres, in supporting the rapid digital transformation in the region,” says Jan Hnizdo, Chief Executive Officer, Teraco. “Africa is poised to remain a high growth, high-demand area for data centre solutions and our combined, diversified platform will further enable us to support our customers in the pan-Africa region and around the world.“
With the acquisition, Teraco will be known as Teraco: A Digital Realty Company.
About Digital Realty
Digital Realty brings companies and data together by delivering the full spectrum of data centre, colocation and interconnection solutions. PlatformDIGITAL®, the company's global data centre platform, provides customers with a secure data “meeting place” and a proven Pervasive Datacenter Architecture (PDx™) solution methodology for powering innovation and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected communities that matter to them with a global data center footprint of 300+ facilities in 50+ metros across 27 countries on six continents. To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and Twitter.
Teraco, a leading carrier-neutral colocation provider in Africa, is the first provider of highly resilient, vendor-neutral data environments in sub-Saharan Africa. With its world-class data centre infrastructure and network-dense ecosystems, Teraco forms a vital part of the African Internet's backbone and is essential to the modern enterprise's digital transformation strategy. Teraco is part-owned by Digital Realty (NYSE: DLR) – offering customers a global data centre platform designed to enable digital business to scale within a highly connected data community across 300+ data centres in 50+ metros and 27 countries on six continents – and a consortium of private equity investors, including Berkshire Partners LLC and Permira. For more information, please visit teraco.co.za or follow us on LinkedIn and Twitter.
Disclaimer: DATACENTRE.ME may not be held responsible or liable for the content or details within this news article.
For further information, please refer to the full details of this article via the original source here.