Equinix expands to South America with Brazil data centre purchase

23 Feb 2011

Equinix, a provider of global data centre services, in partnership with Riverwood Capital, a technology-focused private equity firm, has agreed to acquire 90% of ALOG Data Centers of Brazil for around USD127 million, with a call option to take 100% ownership becoming effective after three years. The investment extends Equinix’s footprint to South America for the first time, reaching a total of 95 data centres across 37 global markets. The firm’s CEO Steve Smith said: ‘Our investment in ALOG further strengthens Equinix’s position as the most comprehensive global data centre provider in the world … ALOG’s strong position in Brazil coupled with a complementary business model give us the opportunity to enter this important emerging market and quickly accommodate our customers’ demands for data centre services in South America.’ ALOG serves approximately 1,000 customers across its two data centres in Sao Paulo and Rio de Janeiro, and is aiming to launch a third data centre in Tambore (a suburb of Sao Paulo) this quarter.

Brazil