California-based private equity firm GI Partners has acquired the Montreal-based Ericsson ICT data center, opened just over one year ago, at the end of 2016.
The $1.3bn data center was previously set to close this year as Ericsson looked to streamline its operations. However, the acquisition, of which the details remain to be disclosed, will see GI Partners adopt it under its portfolio.
“Montreal is a dynamic data center market, due to its access to cost effective hydroelectric power that is attractive for scale and hyperscale deployments,” commented Mike Armstrong, Director of GI Partners and co-head of acquisitions for GI's technology real estate investment programs.
“The property is a world class highly secure data center that will provide users the opportunity to establish in market immediately with significant expansion potential under the same roof.”
The private equity firm now owns and manages 21 data centers across 13 different markets, comprising of a total 5.2mn square feet.
As part of the deal, GI Partners will lease back a portion of the facility to Ericsson on a short-term basis, with the company looking to further develop its cloud-based technologies.