Equinix eyes up Japanese expansion with acquisition
Equinix is acquiring Japanese data centre operator Bit-isle as the company seeks to expand its data centre footprint and support growing demand for interconnection throughout Asia Pacific.
The deal, which is being carried out via Equinix’s Japanese subsidiary, would create the fourth largest data centre operator in Japan and provide Equinix with six more data centres in Japan.
One data centre, in Osaka, is in close proximity to Equinix’s existing International Business Exchange data centres, creating campuses for customers’ future expansion needs.
After the completion of TY5 in the first quarter of 2016, Equinix will have 10 IBX data centres in Tokyo and two in Osaka.
Equinix says the acquisition of Bit-isle will strengthen its position in Asia Pacific, which is its fastest growing region, improve the company’s market position in Japan and help meet growing demand for interconnection among Japanese businesses.
The interconnection and data centre company says the deal will accelerate its cloud and enterprise ecosystem growth and create significant cross selling opportunities.
It says Bit-isle complements its cloud and network service provider customer base with a strong Japanese enterprise and system integrator customer base, including some of Japan’s largest businesses.
Equinix has offered JYP922 per share, for an all cash transaction totalling about US$280 million.
The deal, if successful, is expected to be completed by early 2016.