ST Telemedia buys Brockton Capital LLP’s ENTIRE stake in Virtus Data Centres
Company vows to grow the London data centre player “within the UK and in new European markets”.
Shooting down any uncertainty around Brexit, ST Telemedia Global Data Centres (STT GDC) has made one of its biggest moves in the UK market by acquiring the full portfolio of London operator Virtus Data Centres.
STT GDC, a wholly-owned subsidiary of ST Telemedia, bought 51% of Virtus portfolio owned by Brockton Capital LLP, which has previously announced it would invest up to £100m in Virtus’ expansion over the next five years.
Prior to today’s acquisition, STT GDC owned 49% of Virtus stake through an investment made back in 2015.
Data Economy has reached out to the parties involved to obtain more details on the acquisition.
Following the deal, STT GDC said it intends to invest in Virtus to expands the provider’s reach within the UK and elsewhere in Europe.
Virtus will also be given the opportunity to leverage on STT GDC’s resources for expansion and global customer acquisition purposes.
The STT GDC network comprises 53 data centres in several global economic hubs, including China, India, and Singapore.
STT GDC also operates through other two data centre companies, including GDS and SST Telemedia Connect.
Virtus operates today four data centre buildings in London, and has recently announced it will build two more buildings in London, creating the capital’s largest data centre campus.
With addition of the two data centres, Virtus portfolio will expand to 100MW and will have the potential to expand to circa 150MW.
Sio Tat Hiang, Chairman of ST Telemedia Global Data Centres, said: “We are seeing a burgeoning demand for colocation in the UK and European data centre market, and there is no better time than now to expand our presence there supporting our customers’ growth plans.
“The acquisition reflects our commitment and continued confidence in the key UK and European economies. Through this acquisition, we hope to further cement our footprint in the UK, as well as accelerate growth for both STT GDC and VIRTUS.”
Neil Cresswell, Chief Executive Officer of VIRTUS Data Centres, said, “We are thrilled to deepen our relationship with STT GDC who share the same goals as us – to deliver world-class infrastructure and service to our customers, to be the top player in the market and to continue to grow the portfolio to meet the ever-increasing customer demands.
“This transaction will help VIRTUS continue to thrive in our market and fuel our growth plans. With STT GDC’s continued support, VIRTUS remains committed to supporting our customers with flexible and cost-efficient solutions at scale.”
Simon Samuels, Partner at Brockton Capital LLP, said: “VIRTUS has experienced rapid growth in the last few years and we are extremely pleased with the company’s performance. We have enjoyed a fantastic partnership with STT GDC and are proud of the development of the VIRTUS business to where it is today. We are confident the business is in good hands to continue its trajectory in a high growth market.”