- The acquisition of Algar Tech’s data center colocation operations will anchor Scala’s second campus in the state of São Paulo
- R$ 1.5 billion investment to support continued expansion in high growth market
SÃO PAULO (May 4, 2021)— Scala Data Centers today announced it signed a definitive agreement to acquire Algar Tech’s Data Center and Colocation operations in Campinas. Opened in 2009, this data center is highly connected and is strategically located in Campinas, one of Brazil’s largest data center regions. The Algar data center facility utilizes photovoltaic energy, having been the first in Latin America to adopt this alternative energy use, building upon Scala’s commitment to clean energy.
According to Luciano Fialho, Vice President of M&A and Corporate Development at Scala, “The acquisition of this asset accelerates our entry into the market in Campinas, the largest region in the interior of the state, the tenth largest municipality in Brazil, and one of the leading technological hubs in Latin America.”
Tatiane Panato, CEO of Algar Tech, explains that the company will continue to focus on the company’s other offerings: “In recent years Algar Tech has invested in the evolution of its portfolio and has sought new skills to operate in an increasingly digital world. This decision is part of the company’s growth and specialization strategy that focuses on Customer Experience and Managed Services. The sale is exclusive to the Data Center Colocation business, and the company continues to focus on managed services with offers for hosting, end-user support, IT professional services in hybrid environments, on-premise and cloud,” says the executive.
Marcos Peigo, co-founder and CEO of Scala shared his vision on this milestone: “By identifying synergies and leveraging on team’s best practices, we will quickly integrate this operation into the Scala portfolio. We are growing together with our customers, some of them are even present in the two Campus, Campinas and Tamboré.”
The acquisition of Algar Tech’s facilities will anchor Scala’s new Campus in Campinas, which will have an area of over 130,000 m2, equivalent to more than 15 soccer fields, and 100MW of total capacity distributed in three buildings. In the initial phase, the current building will be modernized and expanded to support near-term customer requirements. In parallel, Scala will begin development of the second data center on the campus with 45 MW of total capacity.
The closing of the transaction is subject to the fulfillment of certain precedent conditions, including the approval of CADE.
About Scala Data Centers
Scala Data Centers is a platform of Sustainable Hyperscale Data Centers based in Brazil and founded by Digital Colony. Developed to meet and overcome the growing demand for digital access in Latin America, Scala has a highly qualified team of more than 200 professionals and applies a flexible approach to offer exceptional quality colocation services to hyperscale customers, cloud service providers, software providers (SaaS) and large companies. We customize solutions for each client using state-of-the-art design and operation practices to deliver latest generation data centers, with high availability, high energy efficiency and extremely high density. All of this combined with the best sustainability practices guided by our ESG program (Environmental, Social, Governance). For more information, visit www.scaladatacenters.com.
About Digital Colony
Digital Colony is a leading global investment firm dedicated to digital infrastructure. With a heritage of over 25 years investing in and operating businesses across the digital ecosystem including towers, data centers, fiber, and small cells, the firm manages a $30 billion portfolio of digital infrastructure assets on behalf of its shareholders and limited partners. Digital Colony, a subsidiary of Colony Capital Inc. (NYSE:CLNY), is headquartered in Boca Raton, Florida, with offices in New York, Los Angeles, London and Singapore. For more information, please visit www.digitalcolony.com
About Algar Tech
Algar Tech has been operating in the corporate market for 22 years with the purpose of connecting people and organizations in a unique way. It is a reference company in its sector, specializing in industries, practices and with skills for digitization. It works closely with its more than 180 clients in the corporate segment, offering business process solutions to improve the experience of consumers and technology users. Combined with a broad ecosystem of partners and operations across Latin America, it has offices in Colombia, Argentina and Mexico and has a team of 12,000 professionals, ready to create agile, innovative and digital solutions. In 2020 it was elected by Valor Inovação yearbook as one of the most innovative service companies in Brazil. For more information, visit Algar Tech at www.algartech.com.
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