3i Infrastructure buys subsea fibre optic network – 3i Infrastructure has agreed to invest about $512m to buy a 100% stake in Global Cloud Xchange (GCX). Global Cloud Xchange is a leading global data communications service provider and owns one of the world’s largest private subsea fibre optic networks.
The company provides high-bandwidth connectivity to a range of blue-chip customers including hyperscalers, telecommunications operators, new media providers and enterprises. Its 66,000km of cables span 46 countries from North America to Asia, with a particularly strong position on the Europe-Asia and Intra-Asia routes. 3i Infrastructure is partnering with Global Cloud Xchange’s management team to invest in a leading platform in the sector, with the ambition to increase the utilised capacity on the company’s existing routes as well as to add new routes and customers.
They say: “Global data traffic is growing rapidly, with data usage forecast to grow in excess of 25% per annum. Technological advances, the digitalisation of the economy and regulatory developments are causing a proliferation of data generation and usage across all industries. This data is increasingly being stored and shared via the cloud and relies on data carrier infrastructure, including GCX’s extensive network, to flow between hubs across the world.”
Phil White, managing partner and head of Infrastructure at 3i Investments said: “GCX is one of the most comprehensive subsea cable networks globally, with a unique network on strategically important routes. We are delighted to be backing Carl Grivner and his experienced management team to continue GCX’s growth.”
Completion of the deal is conditional upon certain regulatory approvals and is expected in the middle of 2022.
3IN : 3i Infrastructure buys subsea fibre optic network