Equinix, a California-based internet provider has announced plans to acquire MainOne, the first private company to land a submarine cable company in West Africa with presence in Nigeria in a deal worth $320 million.
The deal which is expected to be closed by first quarter of 2022 will contribute to the development of digital infrastructure in Nigeria and Africa at large.
Based in Nigeria and founded by Funke Opeke, MainOne started laying its 7,000 km fibre optic cable network in 2010 and has grown from a startup providing internet to Nigerian businesses, homes, internet service providers, and large telecom operators like MTN and Airtel, to a pan-African company covering 10 countries.
Part of the key agreements in the deal include the acquisition of three operational data centers.
With more than 200 million people, Nigeria is Africa’s largest economy and, along with Ghana, has become an established data center hub. This makes the acquisition a pivotal entry point for Equinix into the continent.
Equinix believes MainOne to be one of the most exciting technology businesses to emerge from Africa.
With the deal, it is expected that the facilities will add more than 64,000 gross square feet space to Platform Equinix, as well as additional 570,000 square feet of land for future expansions.
Speaking on the development, President, and Chief Executive Officer (CEO), Charles Meyers, said the acquisition of MainOne will ensure there is a rapid market in the digital infrastructure in Africa.
The CEO also disclosed that as part of the deal, Okepe will remain the CEO of the company. He noted that the decision to retain Okepe was hinged on the huge experience of the technologist.
In his words, “The acquisition of MainOne will represent a critical point of entry for Platform Equinix into the expansive and rapidly growing African market. 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. 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.”
“Under the terms of the transaction, the management team, including CEO Funke Opeke, will continue to serve in their respective roles. Ms Opeke holds a master’s in engineering from Columbia University and was named one of the World’s Top 50 Women in Tech by Forbes in 2018 for her efforts in sparking internet adoption. She was also recently named one of the Top 10 Women to Watch in the Data Center Industry by Data Centre Magazine.”
