Nasdaq-listed Equinix acquires Nigeria’s MainOne in blockbuster deal

Nasdaq-listed digital infrastructure company Equinix is acquiring Nigerian data centre and submarine cable operator MainOne in a deal valuing MainOne at an enterprise value of US$320-million (R5.1-billion).

MainOne, which operates in Nigeria, Ghana and Côte d’Ivoire, was founded in 2010 by Nigerian entrepreneur Funke Opeke, who serves as its CEO. The deal marks Equinix’s first investment on the African continent and is subject to customary closing conditions, including regulatory approvals.

“Equinix’s long-term strategy to become a leading African carrier-neutral digital infrastructure company,” the company said in a statement on Tuesday. “With more than 200 million people, Nigeria is Africa’s largest economy and, along with Ghana, has become an established data centre hub. This makes the acquisition a pivotal entry point for Equinix into the continent.”

MainOne operates three data centers, with another facility under construction expected to open in the next four months. It also owns and operates a subsea fibre cable between Nigeria and Portugal, as well as 1 200km terrestrial fibre in the south of Nigeria.

MainOne’s management team, including CEO Opeke, will stay on after the transaction has concluded.

Globally, Equinix, which has a market capitalisation of $71-billion, owns 237 data centres in 27 countries.  – © 2021 NewsCentral Media