Quality Technology Services has received a $150 million investment from private equity firm General Atlantic LLC, and will use the funds to invest in data center infrastructure and continued development of its managed services platform, the company said today.
Quality Tech has built a network of 11 data center facilities spanning more than 2.5 million square feet of space, growing through acquisitions of facilities and customers from eDeltaCom, IBM, NTT America and Globix. The company offers both wholesale data center space and managed services.
'Long-Term Growth Partner'
“Our new partnership with General Atlantic, one of the world’s largest growth equity investors, directly supports QualityTech’s longstanding singular focus on strategically expanding our nationwide data center footprint and service offerings,” said Chad Williams, Chairman and CEO of QualityTech. “GA has deep experience in the business services and technology sector, a proven track record as a long-term growth partner, and shares our commitment to offering our customers the best data center solutions the industry has to offer.”
The investment provides QualityTech with additional capital to invest in data center capacity at a time whendemand is outstripping supply in many key markets. Today's announcement indicated that Quality will invest in both its existing facilties and in new data centers.
Experience in the Hosting Sector
General Atlantic manages $14 billion in capital. It has been a player in the hosting sector through its investment in Network Solutions, and is known to have been closely tracking the data center sector for several years. General Atlantic Managing Directors Philip P. Trahanas and William O. Grabe will be joining QualityTech’s board of directors.
"Rapid and secure access to scalable technology infrastructure is a key requirement for growth companies across industries, and the need for world-class managed services will only continue to grow as businesses increasingly adopt cloud computing technologies. QualityTech is a leader in this market segment, providing operational excellence and a nationwide footprint of best in class data centers,” said Trahanas.
"We are very excited about the opportunities that our new partnership creates and look forward to working with QualityTech’s management team as it continues to execute on its long-term strategic objectives." Trahanas added.
Strength in Atlanta
Nearly 1.3 million square feet of Quality Tech's data center space is in the Atlanta market, where the company operates a 375,000 square foot data center in Suwanee, and a 1 million square foot property in downtown Atlanta. The downtown site, originally a MetroNexus project, features 200,000 square feet of finished raised-floor and acres of space ready for conversion to data center use.
Quality also has data centers in New York, Jersey City, Miami, Santa Clara, Calif. and several sites in Kansas. The company has more than 1,000 customers.