Teraco to invest R1bn as it announced the expansion of Teraco Isando Campus (JB1) to meet the increased demand for additional data centre capacity is being driven by cloud uptake and enterprise organisations wanting to access the Teraco platform.
Jan Hnizdo, Chief Financial Officer, Teraco
The expansion will occur in two phases. Phase 1, currently underway, will grow the facility by 2 000 cabinets bringing the total JB1 Campus capacity to 5 700. Total usable floor space will increase by 4 000 square meters, expanding to a total of 12 000 square meters across the data centre campus. The anticipated ready for service date is in Q3 2019.
A total of 60MW of power will be reticulated to the site addressing requirements for further expansion after Phase 1 has been completed. The total power available to the Isando Campus will now reach 80MW.
Jan Hnizdo, Chief Financial Officer, Teraco says that he sees continued demand for Teraco’s services given the unique business model and secular growth trends as the African continent continues to digitally transform. The Teraco Campus expansion follows on from the recently launched Riverfields hyper-scale data centre facility in Bredell.
Hnizdo says that funding for the build is via a combination of internally generated funds and enlarging existing debt facilities from R1.2bn to R1.8bn. “Our debt funding partners, Absa, continue to be highly supportive of our business model and are key partners in Teraco’s growth strategy”.
