Digital Colony Management, the digital infrastructure investment platform of Colony Capital (NYSE: CLNY), has established a hyperscale data center platform in Sao Paulo, Brazil through the acquisition of assets from UOL Diveo. Upon closing of the transaction, Scala will be one of the largest data center platforms in Brazil. Financial terms of the deal were not disclosed.
Despite current market conditions, Digital Colony remains committed to identifying compelling investment opportunities, backing strong management teams and building “premier” businesses that are positioned for long-term growth in the digital economy. This transaction follows the recent $14.3 billion acquisition of Zayo Group Holdings, which closed in March 2020 as well as the European expansion of Vantage Data Centers through its acquisition of Next Generation Data.
Scala is Digital Colony’s second investment in Brazil and fourth in Latin America, after acquiring Highline do Brasil in 2019, Andean Telecom Partners in 2017 and Mexico Towers Partners in 2013 through its affiliate Digital Bridge.
Scala’s New CEO
Upon closing of the acquisition, Marcos Peigo, currently an Operating Partner at Digital Colony, will also become the Chief Executive Officer (CEO) of Scala. With more than 20 years of experience leading technology and infrastructure focused firms, Mr. Peigo would provide critical insight into the Latin American market.
“We are thrilled to welcome Marcos to Digital Colony and expand our presence in Latin America. With his proven track record, digital infrastructure expertise and strong network throughout the region, Marcos is the ideal person to lead Scala and oversee the growth strategy in Latin America,” said Jon Mauck, Managing Director of Digital Colony. “Hyperscale data centers are more in need than ever, and we are confident that Scala, with its high-quality facilities, significant expansion capacity and seasoned management team will provide a superior hyperscale solution. The business is ideally positioned to support the growth of cloud and IT outsourcing across Latin America and meet the demands of our global customers.”
Most recently, Marcos Peigo served as Vice President of Value Creation for IBM Latin America, where he led the company’s industry solutions, business development, architecture and innovation practices in the region. Before joining IBM, Mr. Peigo was Executive Director at UOL Diveo; founder and Chief Executive Officer (CEO) of Lemniscata Ventures, a Brazilian privately held investment company focused on ventures that have intensive use of IT at its core ; and Chief Executive Officer (CEO) of Solvo S/A, a managed services company focused on mission-critical infrastructure.
“I have long admired Digital Colony for its global digital infrastructure investment platform, operational excellence, innovative technology and relationships with blue-chip customers around the globe. I look forward to partnering with their team to lead Scala, which will be supported by Digital Colony’s industry leading capabilities and strong management team,” said Marcos Peigo. “Scala’s Latin American investment strategy is highly compelling, and its quality data centers will enable the next generation of mobile and internet connectivity throughout the region.”