Private Equity HUB

| 24 July 2008

Teraco secures R47.5M in first round funding

Teraco Data Environments, a provider of vendor-neutral colocation facilities in South Africa, has raised R47.5 million ($4.57m) in Series A funding. Marlow Advisers led the round, and was joined by Pentangle Group and Treacle Private Equity.

Teraco Data Environments, the first provider of vendor neutral data centres in South Africa, announces the completion of an R47.5-million ‘Series A’ financing round in which both new and existing investors participated.

Investors in the financing round included Marlow Advisers (a Johannesburg-based advisory and investment group) which advised the business in concluding the investment round, Treacle Private Equity (a Johannesburg-based black-owned private equity fund), and the Pentangle Group, the UK-based principal investment holding arm of Sir Peter Michael, a veteran of IT and media industry investment. Sir Peter was an investor in Storm Telecom in South Africa.

"This investment, paired with the substantial experience of our existing shareholders, will serve as key driving factors in enabling the company to move ahead in building out our first data centre," commented Tim Parsonson, chief executive of Teraco, adding "I would like to welcome our new investors, while thanking our existing stakeholders for their ongoing support of the company."