Equinix has announced its intended acquisition of MainOne, a leading West African data center and connectivity solutions provider, with presence in NIGERIA, GHANA and Côte d'Ivoire. The transaction has an enterprise value of US $320M and is expected to close Q1 of 2022.
The acquisition marks Equinix's expansion into Africa and operation of international subsea cable connectivity other than its tranditional data center and metro DCI (data center interconnection) business.
MainOne owns and operates digital infrastructure assets including three operational data centers, with an additional facility under construction expected to open in Q1 2022. Upon closing, these facilities will add more than 64,000 gross square feet of space to Platform Equinix®, with 570,000 square feet of land for future expansions.
MainOne also owns and operates the 7,000km MainOne subsea cable network from Nigeria to Portugal, as well as 1,200 kilometers of reliable terrestrial fiber network across southern Nigeria. MainOne subsea cable network is one of the major in-service subsea cable systems connecting Africa and Eruope. These are all improving connectivity to and from Europe, West African countries and the major business communities in Nigeria. When completed, this acquisition will extend Platform Equinix into West Africa, giving organizations based inside and outside of Africa access to one of the world's fastest growing markets.
Equinix believes MainOne to be one of the most exciting technology businesses to emerge from Africa.
Equinix intends to acquire MainOne and its assets with an all-cash transaction at an enterprise value of US$320M, which is expected to be AFFO accretive upon close, excluding integration costs. The transaction is expected to close Q1 of 2022, subject to the satisfaction of customary closing conditions including the requisite regulatory approvals.