Africa Data Centres secures US$253m to expand its business

SOUTH AFRICAAfrica Data Centres, the Carrier-neutral co-location data centre provider, has secured an investment of almost R4 billion (US$253.85m) to expand its two Johannesburg-based data centres from 30MW to 100MW of IT load, reports IT Web.

The company owns and operates Africa’s largest network of interconnected, carrier- and cloud-neutral data centre facilities.

It is securing land to build a third data centre location in Johannesburg (and its fourth in SA) within the next two years. This will be its largest location – generating 50MW.

Africa Data Centres forms part of fibre solutions provider Cassava Technologies, based across 14 countries, primarily in Eastern, Southern and South Africa, providing mobile operators, carriers, enterprise, media and content companies with high-speed connectivity solutions.

Founded by executive chairman Strive Masiyiwa, Cassava Technologies is the new Pan-African technology group that owns large telco brands, such as Liquid Intelligent Technologies, Sasai Fintech, Vaya Technologies and Distributed Power Technologies.

Africa Data Centres owns three data centres in SA, in Midrand (JHB1), Centurion (JHB2) and Elfindale, Cape Town (CPT1).

According to Africa Data Centres CEO Stephane Duproz, the Johannesburg expansion plans are a microcosm of the company’s broader vision, which will see it build 10 hyperscale data centres across Africa, including in Nigeria, Kenya, Morocco and Egypt, over the next two years.

It intends to massively expand its infrastructure, amid increased digital economy support by government and the private sector, leading to a booming cloud market and the continent’s data centre market attracting large investments from global players.

Africa Data Centres has set aside US$500 million towards a major expansion, as we plan to more than double our already large footprint in Africa, over the next two years,” said Duproz.

“This is expected to boost digital transformation on the continent and we are allocating half of that to SA, as we are also planning an expansion of significant magnitude across both our Johannesburg-based data centres and a third data centre to be located in Johannesburg.

“When you look at our future plans in terms of data centre expansion, we are looking at having 50% of our African-based data centres located in SA. We are looking to invest more here to be able to eventually make more.”

While he did not divulge many details of the new data centre, Duproz noted the US$500 million will only be channelled towards expansion plans, excluding the construction of the data centre.

He added the plans for the Johannesburg facilities are an integral part of the continent’s data centre market expansion, as SA is one of the key markets in Africa, and a gateway for smaller neighbouring markets.

The announcement follows the completion of the company’s 10MW JHB1 data centre in September, billed as one of the largest in Africa.

The company recently began the development of a second data centre of up to 20MW of IT load in Kenya and is securing land for a third facility in the country. It has also established other data centres in Lagos, Nigeria and Lomé, Togo.

Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals, and insights from Africa’s business, economy, and more. SUBSCRIBE HERE

Other Recent Posts

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.