US Firm, Equinix Snaps Up Nigeria’s MainOne for N132.8 Billion
- A leading Nigeria telecommunications service provider, MainOne has been acquired by an American company, Equinix
- The company's said the deal is worth over N132 billion which seeks to give Equinix a foothold on the African continent
- MainOne has presence in three African countries, including Nigeria, Ghana and Cote d'Ivoire from where it generates about N24 billion annually
Nigeria’s leading telecom service provider, MainOne has been snapped up by Equinix, a US-listed infrastructure company in its bid to expand into the African market using Nigeria as the launch pad.
The long-rumoured acquisition climaxed with Equinix buying the company for N132.8 billion ($320 million).
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MainOne is touted to be West Africa’s leading data and connectivity solutions provider which has a presence in Nigeria, Ghana and as well as Cote’d’Ivore, according to Nairametrics.
What MainOne does
The firm gives strongly reliable services to major telecom operators, Internet Service Providers, government agencies, SMEs and other companies in the private sector.
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A press statement by Equinix said the completion of the acquisition increases its long-term plans to become a top African carrier-neutral infrastructure firm by providing a series of top-notch technology and connectivity to Nigeria and the other countries where it operates.
It is expected that the acquisition would boost Equinix’s reach into the African market and give the organisation a foothold in and outside Africa with access to global and regional markets.
What MainOne means to Equinix
The company is hoping to leverage the acquisition to open a multinational-wide market with a functional customer base with Nigeria being the largest market on the African continent.
According to the release, MainOne makes about N24.9 billion in revenue annually with a purchase of about 14x EBITDA.
The release mentioned that the current CEO, Funke Opeke will continue to lead the company under the new MainOne, now an Equinix company.
MainOne has become one of the latest Nigerian company to be snapped up foreign firms who see prospects in startups and other booming businesses in Nigeria.
In 2020, Strpe, a leading payment platform bough Paystack, a Nigerian startup with continental clout for a whopping $200 million in its bid to move into the African market.
Togo becomes first African country to get Google’s 5G network cable
Meanwhile, Legit.ng has reported that Google’s much-touted Equaino submarine cable has made a stop at Togo, the first on the African continent.
The submarine cable will run from Portugal, along the West African coast connecting Europe to Togo, Nigeria, Namibia, South Africa and Saint, Helena.
The cable carrying the fifth generation (5G) mobile service touched down in Togo on Friday, March 18, 2022, as part of a collaboration with the Togolese government, Google and CSSquared which is open-access broadband, TheCable reports.
Source: Legit.ng
