Interxion Enters into Agreement for Controlling Interest in Icolo & Establishes Strategic Partnership with Pembani Remgro Inf...
December 19 2019 - 7:49AM
Business Wire
Interxion Holding N.V. (NYSE: INXN), a leading European provider
of carrier and cloud-neutral colocation data centre services today
announced that it has entered into an agreement to acquire a
controlling interest in Icolo, a Kenyan data centre operator, and
that it has also entered into a strategic partnership with the
Pembani Remgro Infrastructure Fund (PRIF). As part of these
transactions, PRIF will invest in Icolo and will collaborate and
co-invest with Interxion on expansion initiatives across the
African continent. The transaction is expected to close in 1Q
2020.
Since Interxion’s initial investment in March 2016, Icolo has
delivered strong growth and has established itself as a leading
African carrier and cloud-neutral data centre operator. With two
data centres in Kenya currently in operation, Icolo is experiencing
strong demand from cloud and content platforms and across the
enterprise segment. Acquisitions of 25,000 sqm of land for further
expansion of Icolo’s data centre footprint are in progress in both
Mombasa and Nairobi, with the associated total capacity for Icolo
in Kenya expected to grow to approximately 20MW. In Mombasa, Icolo
is uniquely positioned to benefit from the growing number of
submarine cable consortia that have expressed their intention to
land in Kenya.
“We are pleased to announce this partnership with Pembani
Remgro, one of the leading TMT infrastructure investment firms in
Africa,” said David Ruberg, Interxion’s Chief Executive Officer.
“Their deep understanding of the African communications and
technology sectors is highly complementary to Interxion’s proven
expertise in serving the mission-critical needs of the customers in
our carrier and cloud-neutral data centres. Our ambitions in this
region are substantial, reflecting the opportunity for the cloud
and content platforms to bring several hundreds of millions of
people online in Africa over the next decade. We look forward to
working with Icolo’s founder and CEO, Ranjith Cherickel, and his
team to build on the solid foundations they have created.”
Upon the closing of the transaction and taking into
consideration the PRIF investment, Interxion will own approximately
70% of Icolo’s common shares with the remaining shares held by PRIF
and Icolo management.
About Interxion
Interxion (NYSE: INXN) is a leading provider of carrier and
cloud-neutral colocation data centre services in Europe, serving a
wide range of customers through more than 50 data centres in 11
European countries. Interxion’s uniformly designed, energy
efficient data centres offer customers extensive security and
uptime for their mission-critical applications. With over 700
connectivity providers, 21 European Internet exchanges, and most
leading cloud and digital media platforms present across its
footprint, Interxion has created connectivity, cloud, content and
finance hubs that foster growing customer communities of interest.
For more information, please visit www.interxion.com.
About the Pembani Remgro Infrastructure Fund
The Pembani Remgro Infrastructure Fund is a joint initiative
established by Remgro, Phuthuma Nhleko and the investment team,
based in Johannesburg. The strategy of the fund is to invest equity
and quasi-equity in the full spectrum of infrastructure
opportunities on the African continent, with a focus on sub-Saharan
Africa. This includes investments in greenfield transactions;
brownfield and secondary transactions; as well as logistics and
engineering services companies operating within the infrastructure
sector. For more information visit www.pembani-remgro.com.
About Remgro
Remgro Limited is a South African investment holding company.
Its interests consist primarily of investments in food and liquor,
financial services, healthcare, industrial, infrastructure, as well
as media and sport. Remgro’s chairman of the board is Mr. Johann
Rupert and as of December 2019, Remgro Limited’s market
capitalization was approximately USD 7 billion. Remgro is listed on
the Johannesburg Securities Exchange (JSE) operated by the JSE
Limited in South Africa under the "Financial Services – Specialty
Finance” sector, with the share code "REM". For more information
visit www.remgro.com.
About Phuthuma Nhleko
Phuthuma Nhleko has direct interests in a variety of sectors,
including the cement, mining and petroleum industries, and is the
former Group CEO and Chairman of the MTN Group. During his ten
years at the helm of MTN, the group expanded operations from 5
countries in Africa to 21 countries in Africa and the Middle East,
with over 200 million voice and data subscribers.
Forward-looking Statements
This communication contains forward-looking statements that
involve risks and uncertainties. There can be no assurance that
such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in
such forward-looking statements. Factors that could cause actual
results and future events to differ materially from Interxion’s
expectations include, but are not limited to, the difficulty of
reducing operating expenses in the short term, the inability to
utilise the capacity of newly planned data centres and data centre
expansions, delays in connection with the development of new data
centres or data centre expansions, significant competition, the
cost and supply of electrical power, data centre industry
over-capacity, performance under service level agreements, and
certain other risks detailed herein and other risks described from
time to time in Interxion’s filings with the United States
Securities and Exchange Commission.
Interxion does not assume any obligation to update the
forward-looking information contained in this report.
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version on businesswire.com: https://www.businesswire.com/news/home/20191219005443/en/
Jim Huseby Investor Relations Tel: +1-813-644-9399
IR@interxion.com
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