In a blockbuster deal for the data center sector, Equinix will acquire 24 data center sites from Verizon, including the two crown jewels of its portfolio – the NAP of the Americas in Miami and the NAP of the Capital Region in Culpepper, Virginia.
Equinix, which is already the market leader in the colocation business, will pay $3.6 billion for the assets in an all cash transaction. The deal has been rumored for months, and the Verizon assets have been on the market for at least a year.
The portfolio Equinix is acquiring includes approximately 900 customers, and 29 data center buildings across 24 sites, comprising 2.4 million square feet. The deal boosts Equinix’s total global footprint to 175 data centers in 43 markets spanning 17 million square feet.
Most importantly, the Verizon deal provides Equinix with a commanding presence in Latin American markets. The massive NAP of the Americas is a key interconnection gateway to South America, and the deal includes Verizon data centers in Bogotá and the NAP do Brasil in São Paulo.
The deal also provides Equinix with a larger relationship with the U.S. government and military, which house high-security IT and communications operations at the NAPs in both Culpeper and Miami.
