{"id":202614,"date":"2017-03-15T09:00:56","date_gmt":"2017-03-15T07:00:56","guid":{"rendered":"http:\/\/mybroadband.co.za\/news\/?p=202614"},"modified":"2017-03-15T09:02:36","modified_gmt":"2017-03-15T07:02:36","slug":"teracos-massive-expansion-plans","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/cloud-hosting\/202614-teracos-massive-expansion-plans.html","title":{"rendered":"Teraco&#8217;s massive expansion plans"},"content":{"rendered":"<p>Teraco recently <a href=\"https:\/\/mybroadband.co.za\/news\/hosting-storage\/202560-teraco-raises-r1-2-billion-to-expand-data-centres.html\"><strong>raised a debt funding facility from Absa<\/strong><\/a> to the tune of R1.2 billion. While impressive, this does not provide the full picture of the investment the company has made in infrastructure expansion.<\/p>\n<p>Chief financial officer for Teraco Jan Hnizdo told MyBroadband that Teraco is EBITDA positive (earnings before interest, tax, depreciation and amortisation) and it reinvests everything in the business.<\/p>\n<p>\u201c[None of our earnings] are going to shareholder dividends or anything,\u201d said Hnizdo.<\/p>\n<p>Taking everything into account, Teraco will have invested R2 billion by June 2017.<\/p>\n<p>In the next two or three years, Teraco sees itself investing another R2 billion, said Hnizdo.<\/p>\n<p>Teraco recently finished construction of an expansion to its Isando data centre, which it will now start filling with client equipment.<\/p>\n<p>Construction is also underway at its facilities in Cape Town and Durban.<\/p>\n<p>Its next major project is the construction of a new data centre in Bredell, Gauteng.<\/p>\n<p>The new facility will have 24MW of capacity, or 12MW of IT power, making it the largest data centre in Africa, said Teraco.<\/p>\n<p>Teraco currently has 350 contractual relationships with customers, having grown by about 100 customers in the past 12 months. Its customer base is made up of a mix of local and overseas players.<\/p>\n<p>Among them are 160 telecommunications companies which represent local, African, and international carriers. These providers connect to Teraco from all over the world and pick up the content hosted in its facilities.<\/p>\n<p>Looking at Teraco\u2019s growth, and the growth experienced by data environment providers in Europe over the past year, he said they only see demand for their facilities increasing.<\/p>\n<p>When its current builds and the new facility in Bredell are complete, Teraco will have 50MW of capacity, said Hnizdo.<\/p>\n<p>This will account for 45% of South Africa&#8217;s data centre capacity, he said.<\/p>\n<h3 class=\"my-4\">Now read: <a href=\"https:\/\/mybroadband.co.za\/news\/hosting-storage\/180082-teracos-new-technology-to-support-south-africas-internet-growth.html\">Teraco\u2019s new technology to support South Africa\u2019s Internet growth<\/a><\/h3>\n","protected":false},"excerpt":{"rendered":"<p>Teraco has invested billions into its data centres and plans to invest billions more.<\/p>\n","protected":false},"author":15,"featured_media":145117,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[25],"tags":[35,29400,39683],"class_list":["post-202614","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cloud-hosting","tag-headline","tag-jan-hnizdo","tag-teraco-data-environments"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/202614"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=202614"}],"version-history":[{"count":1,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/202614\/revisions"}],"predecessor-version":[{"id":202808,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/202614\/revisions\/202808"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/145117"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=202614"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=202614"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=202614"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}