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Digital Realty Acquires Majority Stake at Teraco to Enhance Subsea Cable Networks

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Digital Realty Acquires Majority Stake at Teraco to Enhance Subsea Cable Networks

Kenn Abuya by Kenn Abuya
August 2, 2022
in News
Reading Time: 2 mins read
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Data centre and interconnection provider Teraco Data Environments has announced the completion of the agreement by Digital Realty.

Digital Realty is a provider of cloud and carrier-neutral data centre, colocation, and interconnection solutions.

The agreement will see Digital Realty acquire the majority stake in Teraco from a consortium of investors, including Berkshire Partners and Permira.

The acquisition of Teraco adds South Africa to Digital Realty’s three 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 connected facilities, clients now have access to a choice of strategic connectivity and interconnection platforms that serve all corners of the African market.

With the acquisition, Teraco will be known as Teraco: A Digital Realty Company.

Quotes

“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. Our combined, diversified platform will further enable us to support our customers in the pan-Africa region and worldwide.”

“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 investing in Africa as we capitalise on the tremendous opportunity in the region.”

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Kenn Abuya

Kenn Abuya

Kenn Abuya is a friend of technology, with bias in enterprise and mobile tech. Share your thoughts, tips and hate mail at [email protected]

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