Data center service provider Equinix, Inc. (EQIX) today announced an agreement to acquire its flagship Silicon Valley property for $65.0 million. The company said the purchase allows it to control the property and gives Equinix the option of building additional data centers on th site.
Equinix's flagship Internet Business Exchange center in San Jose is one of four data centers the company operates in Silicon Valley.The company will make a $6.5 million deposit and finance the remainder of the purchase price. The deal will close sometime before November 2007.
"The acquisition will enable us to gain long-term control of this strategic IBX center," said Peter Van Camp, the chairman and CEO of Equinix, who noted that the company acquired its Washington D.C. data center campus last year with similar motivations. "This deal may provide us with greater options in potentially expanding our IBX footprint in this important market to meet the growing demand for our colocation and network interconnectivity services."