Digital Realty Completes Acquisition of Teraco
Creates the first colocation and interconnection provider in Africa
AUSTIN, TX, August 1, 2022 /PRNewswire/ — Digital Realty (NYSE: DLR), the world’s largest provider of carrier- and cloud-neutral data center, colocation and interconnect solutions, today announced the successful completion of its announced agreement previously to acquire a majority stake in Teraco, a major provider of carrier-neutral data center and interconnection services South Africaof a consortium of investors, including Berkshire Partners and Permira, in a transaction valuing Teraco at c. $3.5 billion.
The acquisition of Teraco adds South Africa to Digital Realty’s three existing markets on the continent, including Kenya, mozambiqueand Nigeria. The strategic importance of these four markets has been reinforced by the recent and ongoing installation of new networks of submarine cables encircling Africa. Combined with Digital Realty’s highly connected facilities at Marseillesour customers have a range of strategic connectivity hubs from which they can serve every corner of the African market.
As South Africa As the largest and most densely interconnected data center platform, Teraco supports the rapid growth of the continent’s Internet community through its growing data center portfolio. Teraco’s experienced management team, growing multinational 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 thrilled to complete this transformative transaction which positions Digital Realty as the premier data center and connectivity provider on the fast-growing African continent,” said A. William Stein, Managing Director, Digital Realty. “Today’s milestone gives us significant regional scale and access to a leading, high-quality portfolio in africa larger market, improving our ability to meet growing customer demand for connectivity in the region. We are excited to strengthen our global platform and deepen our commitment to investing in Africaas we capitalize on the huge opportunity in the region.”
“Teraco has made significant progress in achieving our strategic goals, including improving connectivity and accessibility to our data centers, supporting rapid digital transformation in the region,” said Jan Hnizdo, CEO, Teraco. “Africa is poised to remain a high growth and high demand area for data center solutions and our combined and diverse platform will further enable us to support our customers across the pan-Africa region and worldwide. »
With the acquisition, Teraco will be known as Teraco: A Digital Realty Company.
About digital real estate
Digital Realty brings business and data together by offering a full range of data center, colocation and interconnect solutions. PlatformDIGITAL®, the company’s global data center platform, provides customers with a secure “meeting place” for data and a proven Pervasive Datacenter Architecture (PDx™) solution methodology to drive innovation and effectively manage data gravity challenges. Digital Realty gives its customers access to the connected communities that matter to them with a global data center footprint of over 300 facilities in more than 50 metros across 27 countries on six continents. To learn more about Digital Realty, visit digitalrealty.com or follow us on LinkedIn and Twitter.
Teraco, a leading carrier-neutral colocation provider Africa, is the leading provider of highly resilient, vendor-neutral data environments in Sub-Saharan Africa. With its world-class data center infrastructure and network-dense ecosystems, Teraco forms a vital part of the backbone of the African Internet and is essential to the digital transformation strategy of modern business. Teraco is part-owned by Digital Realty (NYSE: DLR) – providing customers with a global data center platform designed to enable digital businesses to grow within a highly connected data community across more than 300 centers of data in more than 50 metros and 27 countries on six continents – and a consortium of private investors, including Berkshire Partners LLC and Permira. For more information, visit teraco.co.za or follow us on LinkedIn and Twitter.
For more information
Digital real estate
+1 737 267 6822
Jean Christiansen / Kevin Siegel
Sard Verbinnen & Co
+1 (415) 618-8750 / +1 (310) 201-2040
Jordan Sader/ jim huseby
Digital real estate
+1 737 281 0101
Safe Harbor Statement
This press release contains forward-looking statements based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual results to differ materially, including statements relating to the Company’s closing of the transaction with Teraco, the South African company and the African market, development plans and operations in Africa, access to submarine cables, Digital Realty’s strategy, expected growth of the digital economy, customer demand and expected profits. For a list and description of such risks and uncertainties, see the company’s reports and other filings with the United States Securities and Exchange Commission. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Digital Realty