Europe's largest data centre campus has been acquired by US venture Vantage Data Centers.
The deal, the value of which has not been disclosed, provides an exit for owners of the Newport-based Next Generation Data (NGD) facility, InfraVia Capital Partners and two other founders. InfraVia had acquired a majority stake in the data centre in 2016.
Energy intensive data centres are used by companies and organisations to house critical applications and data.
The tier three NGD facility provides 750,000 of space, housing 22,000 racks. It is a 72 megawatt facility, but with a further 108 megawatt expansion capacity. It generates 100% of its power from renewable sources.
The deal takes Vantage Data Centers' portfolio of data centres in Europe to six, alongside those in Berlin, Frankfurt, Milan, Warsaw and Zurich.
Chief executive of Vantage Data Centers, Sureel Choksi, said: "The acceleration of digital transformation that continues to be at the forefront of our global economy emphasizes the need for reliable data center capacity that can scale quickly to meet skyrocketing demand.
“Vantage is excited to enter the UK market and is committed to growing around the world in locations that are most critical to our hyperscale and cloud customers.”
Joining Vantage Europe is the NGD team, including former chief executive Justin Jenkins who will serve as chief operating officer of Vantage Europe and president of Vantage.
Mr Jenkins said: "Data centre growth in Europe is reaching unprecedented levels. “The NGD team and I are delighted to join Vantage to serve customers not only in the UK, but across Europe.
"Together we will accelerate our shared vision to become the preeminent hyperscale data centre provider globally.”
The NGD acquisition was funded with equity backing from Digital Colony Partners and other investors in Vantage, alongside debt financing.
Digital Colony chief executive Marc Ganzi said, “As the world continues fighting this global pandemic and experiences a secular shift in enterprise cloud adoption, the rapid development of data centers is more critical than ever to meet heightened customer demand. Vantage Europe’s acquisition of NGD is a significant example of providing hyperscale capacity to an underserved market.
“We at Digital Colony are committed to supporting our portfolio companies to serve this growing need.”
