Teraco Data Environments today announced the completion of a R158 million ‘Series C’ financing.
The financing includes a combination of both equity and debt, with IFC, a member of the World Bank Group, becoming an equity shareholder in Teraco and the Development Bank of Southern Africa (DBSA) providing R80 million of senior debt.
All of the company’s current investors also participated in the financing, including Treacle Private Equity, Pentangle Group and Marlow Capital. Marlow Capital acted as financial advisor on the financing.
The financing will be used to further support Teraco’s growth. The Johannesburg colocation data centre will be expanded to three times its current size and two new colocation facilities will be opened in Durban and Cape Town.
Teraco currently has 1,200 square meters of data centre space in Johannesburg and 500 square meters in Cape Town.
Teraco MD Lex van Wyk said that they will launch its 600 square meter Durban data centre (DC) in August, and plans to immediately grow their Johannesburg DC by over 1,000 square meters, and its Cape Town DC by 600 squares meters.
Teraco is set to eventually grow its Johannesburg DC space to 3,700 square meters, increase space in Cape Town to 1,700 square meters and have a 900 square meter DC in Durban.
Tim Parsonson, Group Chief Executive of Teraco, said: “We are very excited about bringing into Teraco two quality finance providers in IFC and the DBSA, who will help us with our next phase of exciting growth.”