Digital Realty Trust Inc, an American company specializing in data center management, announced on Tuesday (January 4th) that it had agreed to take a majority stake in Teraco Data Environments Pty, Africa’s largest data center operator based in South Africa. .
After the deal closes, Digital Realty will own approximately 55% of the total stake in Teraco, while the remaining 45% will be held by a consortium of existing shareholders, including management, Berkshire Partners LLC, Permira, van Rooyen Group, Columbia Capital, Stepstone Ventures and Teraco Connect Trust.
The transaction, estimated at more than $ 3.5 billion, is expected to close in the first half of 2022 and will be subject to regulatory approval.
“We are delighted to enter our next chapter by joining forces with Digital Realty to create a truly global and scale platform serving our clients in Africa and beyond,” said Jan Hnizdo, CEO from Teraco.
For Digital Realty, this acquisition marks its entry into the African telecommunications and data space and will enhance the company’s ability to serve customers globally.
Teraco is described as Africa’s largest data center service provider. Johannesburg-based and established in 2008, the company claims to operate seven high-quality facilities with a critical energy load of 75 megawatts, serving more than 600 customers, including global internet companies, in six major ecosystems – connectivity providers, providers of managed services, cloud, content, business and financial services.
