Manchester cloud hosting and data centre operator acquired in multimillion-pound deal
Manchester-based cloud hosting and data centre operator, Teledata UK, has been acquired for an undisclosed sum.
The multimillion-pound deal represents the first bolt-on regional acquisition by Farnborough-based Dataum Datacentres, a part of its regional expansion strategy.
Datum Datacentres was launched in 2012 with the aim of delivering the most energy efficient and flexible colocation on the market.
It has been going from strength to strength at its current single-site footprint in Farnborough and was acquired by Funds managed by the UBS Asset Management (UBS-AM) Real Estate & Private Markets business (REPM) in September 2021, with the intention to expand into key regional markets.
The Manchester/North-West area is the second largest economic area in the UK and an ideal location for Datum’s regional expansion.
The addition of this second site to Datum’s portfolio, as well as basic network services and a cloud platform, will enhance the company’s market credibility and provide cross-selling opportunities.
Market consolidation has meant that Teledata is one of the few remaining independent colocation providers in the region and it has developed a solid reputation.
Its current facility is fully utilised and there is an immediate opportunity to expand into an adjacent building on the site, which will give Datum Datacentres a unique position in the currently under-served market.
Dominic Phillips, CEO of Datum said: “Manchester has always been our primary target market for expansion and the region continues to show strong growth.
“Teledata has had a presence in the Manchester market for many years and its recent rapid growth consolidates this position. With an additional fully powered and adjacent site secured for immediate development we look forward to providing further quality colocation capacity to the Manchester market.”
Matt Edgley, commercial director at Teledata, said: ”The acquisition is fantastic news for the Teledata team and for the Manchester region.
“Having worked closely with the Datum Management Team previously, I know that we’re in the ideal position for Teledata and our clients to benefit from an aligned approach to quality, the environment and service levels as we continue to invest in and deliver the highest quality sites in the region, with the strong backing and commitment of UBS.”
Andrew Morris, managing director – head of infrastructure equity, said: “This transaction represents the ongoing commitment of UBS-AM to this strategically important, fast growing, and high performing sector.
“The attractiveness of this opportunity has also allowed UBS to bring in additional long term capital from one of the largest global pension funds to support the growth of the Datum platform.
“It will deliver attractive returns to investors whilst enabling further investment into the critical digital infrastructure that underpins economic growth in Manchester and the North West.”
UBS and Datum were advised by Arup Corporate Finance (financial) and Pinsent Masons (legal). The vendors were advised by Blacksquare Advisory (financial) and Addleshaw Goddard (legal), led by George Danczak, supported by Michelle Davis-Ratcliffe, Sylwia Karkusiewicz, Maral Nafar and Nelema Akhtar.
