TechCrunch reports the $320 million acquisition is projected to close in the first quarter of 2022. The news follows a year after Equinix acquired GPX India for $161 million and Bell Canada for $780 million back in June 2020.
Now, Equinix firmly believes its newest acquisition in Nigeria, Ghana, and the Ivory Coast will be a preliminary step to solidify its presence as an African digital infrastructure company.
“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,” said Charles Meyers, the president and CEO of Equinix, in a statement, according to TechCrunch. “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.”
Funke Opeke launched MainOne in 2010 after observing evident discrepancies in Nigeria’s internet connectivity. Aiming to create a solution, Opeke tapped into $240 million in equity and debt investment to create “West Africa’s first privately owned, open access 7,000-kilometer undersea high capacity cable submarine,” according to the company’s website.
According to TechCrunch, the cable extends from Portugal to West Africa with landings along Accra in Ghana, Dakar in Senegal, Abidjan in the Ivory Coast, and Lagos in Nigeria. In another ground-breaking feat, MainOne also created West Africa’s largest Tier III Data Center to house 600 racks.
MainOne Plans To Open New Facility In Q1 2022
To date, MainOne’s services are used by 800 businesses in a variety of fields including social media,
According to TechCrunch, MainOne generates $60 million in revenue yearly and has a purchase multiple of around 14x EBITDA. As the acquisition is set to begin in the coming months, MainOne will propel Equinix’s expansion efforts adding facilities with over 64,000-square-feet of space and 570,000-square-feet of land.