Equinix is to acquire 24 data centre sites from Verizon in a $3.6bn all cash deal, strengthening its global platform and expanding its interconnection portfolio.
The sites consist of 29 data centre buildings across 15 metro areas. The addition of these strategic facilities and customers will further strengthen Equinix's global platform by increasing interconnection in the U.S. and Latin America; opening three new markets in Bogotá, Culpeper and Houston; and accelerating Equinix's penetration of the enterprise and strategic market sectors, including government and energy.
The acquired portfolio includes approximately 900 customers, with a significant number of enterprise customers new to Equinix's platform, and it adds approximately 2.4 million gross square feet.
It will bring Equinix's total global footprint to 175 data centers in 43 markets and approximately 17 million gross square feet across the Americas, Europe and Asia-Pacific markets.
Circa 250 Verizon employees, primarily in the operations functions of the acquired data centres, will become Equinix employees.
Steve Smith, President and CEO, Equinix, said: "This opportunity complements and extends Equinix's strategy to expand our global platform. It enables us to enhance cloud and network density to continue to attract enterprises, while expanding our presence in the Americas.
"The new assets will bring hundreds of new customers to Platform Equinix while establishing a presence in new markets and expanding our footprint in existing key metros. The deal will also provide significant value for shareholders as the proposed transaction is expected to be immediately accretive to our adjusted funds from operations per share upon close."