Zenium receives funding for second Frankfurt facility
Fri 20 Oct 2017
Data centre provider Zenium has received €100 million (approx. £90 million) in senior secured credit facilities for its German arm, Zenium Germany GmbH.
The transaction will allow the firm to refinance its existing, operational data centre in Frankfurt – known as Frankfurt One, and fund the building and fit-out of Frankfurt Two, its second data centre in Germany.
The two facilities will give Zenium a combined load of around 27MW of data centre capacity in Frankfurt. The facility is structured as a six year ‘senior secured hybrid project facility’, which will give extra flexibility for the firm during the build phase of the Frankfurt Two facility.
Zenium CEO and founder, Franek Sodzawiczny, said: “This is a significant milestone for Zenium and demonstrates our solid company standing and stature within the finance community.
“We are delighted to be continuing our commitment to Frankfurt, delivering world-class technical space that hyperscale and Fortune 500 companies demand.”
The news comes shortly after Zenium’s Istanbul site was acquired by major data centre player Equinix for around £70 million. Equinix stated that the purchase would help it in its pursuit of increasing its global connectivity market share.
Sodzawiczny commented on the acquisition by Equinix: “We congratulate Equinix with this transaction, which enables us to focus on our business in Western Europe. The technological infrastructure in Turkey is advancing quickly, as businesses are requiring more interconnection to compete.”
A recent report by professional services firm JLL, which provides data centre advice to businesses, found that Frankfurt has recently been overtaken for the first time by Amsterdam in terms of power supply market share.
At the end of this year’s third quarter, Amsterdam had a total power supply of 292MW, compared to 251MW in Frankfurt. However, in part thanks to Zenium’s new facility in Frankfurt, the German city is expected to make a resurgence and retake second place, following behind London.