Iron Mountain committed to high growth-good return markets
Web Werks, one of India’s leading independent data center providers, has entered into a strategic relationship with Boston-headquartered Iron Mountain (NYSE: IRM) for US$150 million investment to accelerate expansion across different Indian cities and build capacity to cater to one of the fastest-growing data center markets globally.
Iron Mountain will be the majority investor in the venture and make the investment over two years.
The transaction is expected to close within the next 90 days, subject to customary closing conditions, Web Werks said on 25 Feb 2021.
Web Werks operates three Tier 3, carrier-neutral datacenters in Mumbai, Pune and Delhi NCR with a combined footprint capability of 225,000 square feet.
The latest investment enables Web Werks to expand its operations in its three existing markets immediately and expand into Bangalore, Hyderabad and Chennai.
Web Werks houses six worldwide Points of Presence (POPs), provides 4 megawatts (MW) of existing capacity, supports 6,000+ servers and supports 850 clients. While Iron Mountain Data Center customers get access to three rapidly growing Indian markets, including the 2nd most active peering location in Mumbai.
“Joining forces with the Iron Mountain Data Center team will further solidify Web Werk’s leadership position in the pan-India region and among the broader set of global customers,” stated Nikhil Rathi, CEO, Web Werks.
“Web Werks and Iron Mountain Data Centers are fully committed and aligned to grow and scale to meet the digital transformation and interconnection needs of our customers. The Joint Venture will position Web Werks among the select few data center operators with assets across all major cities and have both HyperScale and dense Interconnection expertise. We look forward to collaboration and our continued success,” said Rathi.
“This investment reflects Iron Mountain’s commitment to invest in high growth, good return global markets to continue to meet our customer’s requirements. The India data center market is projected to grow exponentially in the coming years and Iron Mountain is excited to be an early mover into a market where the demand is high and the supply is low,” said Mark Kidd, Executive Vice President & General Manager, Iron Mountain Data Centers.
“Web Werks has a highly respected and seasoned leadership team; we are delighted to not only support their continued growth and success but also to provide our existing Iron Mountain data center customers access to this growing and thriving market.”
“India provides an important next step in expanding our Asia Pacific footprint,” added Michael Goh, General Manager Asia Pacific at Iron Mountain Data Centers. “We have seen very strong regional demand from our global customers following the grand opening of our Singapore data center, SIN-1, in 2019.”
Deutsche Bank acted as the exclusive financial advisor to Web Werks on the fundraise, Khaitan & Co and Ernst & Young acted as the exclusive advisors to Web Werks.
Cyril Amarchand Mangaldas and PwC India acted as advisors to Iron Mountain on this transaction, Jones Lang LaSalle acted as an introducing partner to both parties.
Founded by Nikhil and Nishant Rathi, Web Werks through its Datacenters provides access to a robust, neutral interconnection ecosystem of carrier, content and cloud providers including over 160 Internet Service Providers (ISP) and 5 Internet Exchanges. As market leaders in hyper connected infrastructure, Web Werks supports a broad base of well known brands from Enterprise, BFSI, SMEs and OTTs who require the ability to efficiently and effectively scale their online businesses.
Iron Mountain Incorporated (NYSE: IRM), founded in 1951, is the global leader for storage and information management services. Trusted by more than 225,000 organizations around the world, and with a real estate network of more than 90 million square feet across approximately 1,450 facilities in approximately 50 countries, Iron Mountain stores and protects billions of valued assets, including critical business information, highly sensitive data, and cultural and historical artifacts. #technology #investment #data #banking /fiinews.com
