Fast-growing independent South African data centre operator Teraco is being acquired.
The deal is being led through funds from international private equity firm Permira.
Teraco has quickly established itself as the top “carrier neutral” data centre operator in sub-Saharan Africa since its founding six years ago.
The deal’s value has not been disclosed.
“The Permira funds’ investment will support the company’s growth plans, including the strengthening of its sales and marketing platform and its expansion into sub-Saharan Africa,” Teraco said in a statement.
“The management team is excited to welcome the Permira funds as a shareholder and we are optimistic about the opportunities provided by this new partnership moving forward,” said Teraco CEO Lex Van Wyk in the statement.
Van Wyk told TechCentral on Wednesday evening that Teraco has plans to build a second large data centre in Johannesburg to complement its site in Isando, east of city. The new data centre is likely to be of a similar size, about 4 000sq m.
However, the Permira funds were not needed to fund the construction of the new facility.
The transaction is still subject to regulatory approval and is expected to be completed in the first quarter of next year.
Once the deal is concluded, Permira principal Michail Zekkos will join Teraco’s board. Partner and co-head of Permira’s technology team, Richard Sanders, will serve as a director on the board, too. — (c) 2014 NewsCentral Media