Datacenter One (DC1), an operator of several data centers and provider of colocation services across Germany, has been acquired by AtlasEdge for an undisclosed sum of money. With additional data centers under construction, the acquisition includes four “cutting-edge” data centers in total, in Stuttgart (x2), Dusseldorf, and Leverkusen respectively.
AtlasEdge is a European edge data center business with a mission to create one of Europe’s leading edge platforms, delivering seamless, localized and ultra-low latency digital infrastructure to clients.
AtlasEdge offers a rapidly expanding portfolio of more than 100 sites across the continent that provides proximity to the core network that can be essential for the technology of tomorrow. It was founded through a joint investment by Liberty Global, one of the world’s top converged video, broadband and communications companies, and DigitalBridge, a leading global investment firm dedicated to digital infrastructure.
This acquisition would hasten AtlasEdge’s growth in Germany, a crucial strategic data center market and a key hub of the continent’s digital economy. AtlasEdge’s operations in Berlin and Hamburg are complemented by the footprint of DC1’s purpose-built, premium facilities, greatly enhancing AtlasEdge’s potential to serve clients in five regional German markets with considerable ‘ready-to-sell’ capacity. According to AtlasEdge, it occurs at a time when Europe’s first wave of edge deployments is quickening due to rising consumer demand for digital infrastructure that is located closer to the end user, which is being pushed by enterprises and bigger platforms.
Rising Colocation Client Demand
Following the sale, DC1’s senior management team, which has a track record of successful development, will continue in place. The management team of AtlasEdge will now also include Wolfgang Kaufmann, CEO at DC1.
“This is a highly strategic transaction for AtlasEdge,” said Giuliano Di Vitantonio, Chief Executive Officer (CEO) at AtlasEdge. “Germany is an important part of our expansion plans and a market that has seen customer demand rise across multiple metros. Acquiring DC1 transforms AtlasEdge into Germany’s leading distributed platform, with ready-to-sell capacity in key locations across the country. We look forward to working with our new colleagues and continuing to grow our footprint across the continent.”
In order to fulfill the high levels of demand for colocation throughout Germany, DC1’s continuous development and expansion plan would be essential, and AtlasEdge anticipates making sizeable further investments around the country in this area.
AtlasEdge received advice from DH Capital, a Citizens company, on financial matters, and legal help from Hogan Lovells. The acquisition is likely to conclude by the end of 2022, subject to regulatory approval.
“The joint expertise of DC1 and AtlasEdge, together with the increased scale and customer offering that this deal enables is a real win,” said Wolfgang Kaufmann, Chief Executive Officer (CEO) at DC1. “We have experienced first-hand the rising demand and growth potential in the German market, and this is a fantastic next step for us. Our combined locations, ethos and ambition are all the right ingredients, and we’re very excited to be joining AtlasEdge.”