Equinix, a global interconnection and data centre company, has announced its expansion into India through the acquisition of the Indian operations of GPX Global Systems, a provider of next-generation, Tier 4 design, carrier-neutral data centres to developing global markets.
The all-cash transaction value of the deal is said to be $161 million. The acquisition is expected to close in Q1 2021, subject to regulatory approval.
This acquisition will extend Platform Equinix, described as the world’s largest global platform of interconnected data centres and business ecosystems, to India with the addition of two highly interconnected data centres, providing a platform for additional expansion across the country. Globally, Platform Equinix comprises more than 210 data centres across 56 metros and 26 countries.
Equinix customers will have access to a network-dense data centre campus with more than 200 international brands and local companies, including leading cloud service providers, leading networks, content delivery network providers, all local carriers, 130 internet service providers and four internet exchanges.
Both data centres are strategically located in Mumbai, home to the critical IT infrastructure of numerous global organizations and with international connectivity serviced by subsea cables at landing sites located nearby.
Under the agreement, Equinix intends to acquire GPX India's business, consisting of a fibre-connected campus in Mumbai with two data centres, adding more than 1,350 cabinets, with an additional 500 cabinets at full buildout. The facilities will add more than 90,000 square feet of colocation space to Platform Equinix when fully built.
GPX India offers a cloud-dense environment and access to major cloud services, as well as an interconnection solution that enables customers to connect to multiple cloud platforms.
This activity underlines the growing promise of the Indian market, where core digital sectors such as IT and digital communication services are projected by some analysts to double in size by 2025, eventually contributing $355-435 billion to GDP.