Cequel Data Centers continues to grow through acquisitions. This week the company extended its growing data center footprint to the East Coast with the acquisition of Baltimore Technology Park, a colocation provider serving the Mid-Atlantic region. The deal is Cequel's fifth acquisition since 2010, as it builds its Tierpoint brand of colo, cloud and disaster recovery services. Financial terms of the transaction were not disclosed.
Baltimore Technology Park currently operates 11,000 square feet of data-center space in downtown Baltimore with plans to add 3,000 square feet of raised floor space to meet strong demand and satisfy existing customers looking to expand in that market. BTP will operate under the Tierpoint brand going forward.
"This acquisition enhances our geographic diversity in a key East Coast market as we continue to respond to the growing national demand for colocation and cloud computing services," said Paul Estes, Chairman and Chief Executive Officer of Cequel Data Centers. "Baltimore is a dynamic business community and the data center team brings expertise and experience serving enterprise customers. As we have done elsewhere, we plan to continue to grow and expand our facility in Baltimore."
Cequel Data Centers now owns and operates nearly 130,000 square feet of raised-floor, data-center space in Dallas, Spokane, Seattle, Oklahoma City and Tulsa. Here's a look at its major acquisitions:
- In July 2010 Cequel launched with the acquisition of Colo4Dallas, which operates a 68,000 square foot data center in the Dallas market.
- In 2011, Cequel bought Perimeter Technologies, which operates data centers in Tulsa and Oklahoma City with a total of 22,000 feet of space.
- In May 2012 Cequel acquired Tierpoint, a regional provider of colocation and cloud services in the Pacific Northwest. Tierpoint operates three facilities in the Spokane, Washington market.
- In December Cequel continued its expansion in the Pacific Northwest with the purchase of AdHost, a hosting and colocation provider with a facility at Fisher Plaza in Seattle.
Cequel Data Centers was established by Cequel III, a St. Louis investment and management firm that has focused on the cable and telecom sectors. Cequel is partnering with two private equity firms, Thompson Street Capital Partners of St. Louis and Charterhouse Group of New York.
RBC Capital Markets acted as financial advisor to Baltimore Technology Park and was the sole lead arranger and sole bookrunner for the debt financing associated with this acquisition. U.S. Bank and ING Capital acted as co-syndication agents, and CapitalSource Bank acted as documentation agent. Goldman Sachs, CoBank, Raymond James, CIT and Brown Brothers also participated in the credit facility. Paul Hastings acted as counsel for Cequel Data Centers for the acquisition and financing.