Teraco concludes R2.5bn funding round for data centre construction

Teraco Data Environments Proprietary Limited has announced its finalization of a new R2.5 billion loan financing transaction.

This follows the company’s announcement in November 2020 regarding its construction of a new 38-megawatt hyperscale data centre in Ekurhuleni, east of Johannesburg.

Teraco will use the funds raised together with internally generated cash to finance the build and this new transaction cements its commitment to continuing investment in the region’s digital infrastructure while expanding Africa’s largest data centre platform.

New appointed CFO, Samuel Erwin, said that Teraco’s shareholders and lenders have a long-term vision for Africa’s digital transformation and support its continued investment in data centre infrastructure to serve the Sub-Saharan African market.

This funding round, and continued investments in data centre construction, align with Teraco’s support of the South African Government’s investment drive and Teraco’s 2020 commitment to invest billions of Rands into South Africa’s digital infrastructure” he said.

The funding transaction, led by Absa, includes several large institutions that have joined the lending group, with a view to creating long term partnerships that will support Teraco’s future expansion plans. “Absa has continued along the growth path with Teraco. Their understanding of our business model and funding requirements and ability to offer tailored funding solutions to suit our needs has contributed to Teraco’s success” says Erwin.

At a time of enterprises focussing on cloud adoption strategies, Teraco is making significant investments in providing access to digital infrastructure that is both resilient and highly flexible. This offers enterprises the ability to scale as network strategies evolve in a world where fast and secure interconnection with strategic business partners is a source of competitive advantage.

Organisations working to accelerate their digital transformation utilize Teraco to scale their IT infrastructure, adopt hybrid and multi-cloud architectures and interconnect with strategic business partners within the Platform Teraco ecosystem of over six hundred global and local clients.

Source: Propertywheel.co.za | https://propertywheel.co.za/2021/02/teraco-concludes-r2-5bn-funding-round-for-data-centre-construction/

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