Equinix, Inc. (NASDAQ: EQIX) says it has agreed to purchase MainOne, a West African data center and connectivity services provider, for $320 million. The deal, which Equinix expects to close in the first quarter of 2022 subject to the satisfaction of customary closing conditions, will provide the company with facilities in Nigeria, Ghana, and Côte d'Ivoire.
Founded in 2020 by Funke Opeke, MainOne operates three data centers in Nigeria, with a fourth under construction and expected to open around the time of the acquisition’s close. These facilities will add more than 64,000 gross square feet of space to Platform Equinix, with 570,000 square feet of land available for future expansion. MainOne also operates a 7000-km submarine network between Portugal, Lagos, Accra, and other points along the west African coast, with landing stations in Nigeria, Ghana, and Côte d'Ivoire. The company also operates a terrestrial fiber network of more than 1200 km in Lagos, Edo, and Ogun States. Together, the fiber infrastructures offer connectivity to 65 PoPs in cities across Portugal, Nigeria, Ghana, and Cote d'Ivoire.
MainOne’s management team, including CEO Opeke, will continue to serve in their respective roles post acquisition, says Equinix.
"The acquisition of MainOne will represent a critical point of entry for Platform Equinix into the expansive and rapidly growing African market,” said Charles Meyers, president and CEO of Equinix. “MainOne's leading interconnection position and experienced management team represent critical assets in our aspirations to be the leading neutral provider of digital infrastructure in Africa.
“Growth of data consumption in Africa is amongst the fastest in the world, and our customers are looking for a trusted partner to pursue the opportunities presented by broad mobile adoption and greater connectivity across the region,” Meyers continued. “MainOne's infrastructure, customer relationships, partner ecosystem, and operating capability will extend the reach of Platform Equinix and bolster opportunities for customers in Africa and throughout the world."
"Africa has been the missing piece in the Equinix jigsaw, and this acquisition of MainOne will be a great first step onto the continent,” commented John Dinsdale, chief analyst and research director, Synergy Research Group, via an Equinix press release. “The demand for data center services in Africa is strong, with Nigeria at the epicenter of exponential economic growth in West Africa. Nigeria is Africa's largest country by both population and economy, and its growth drivers include rapid mobile adoption, increased data consumption from its young population, good subsea and terrestrial connectivity, and a strong enterprise market. This is advancing the region toward a more digitalized economy and driving data center growth and expansion to provide much-needed digital infrastructure."
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Stephen Hardy | Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
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