Open Access Data Centres (OADC) plans to expand its footprint in South Africa after receiving regulatory clearance from the South Africa Competition Commission last week. Part of the WIOCC Group, the company is stepping up investment in a market valued at about $580 million, according to Mordor Intelligence.
Acquisition of NTT Data Facilities
The transaction covers seven data centre facilities currently operated by NTT Data across Bloemfontein, Cape Town, East London, Gqeberha and Umhlanga, as well as Bryanston and Parklands in Johannesburg. Alongside the sites themselves, the deal includes associated infrastructure and equipment, supplier and lease agreements, and ownership of the land on which the Parklands data centre is located.
Range of Services and Capabilities
Together, the facilities provide a full range of services, including colocation, network and connectivity offerings, as well as data centre design, implementation and ongoing management.
OADC already operates four hyperscale data centres in South Africa, located in Cape Town, Johannesburg and Durban, in addition to roughly 30 smaller edge data centres distributed across the country.
Financing Supports Pan-African Growth Plans
Approval for the acquisition comes shortly after WIOCC secured a $65 million financing package from a group of development finance institutions and investors, including the International Finance Corporation, Proparco, Emerging Africa Infrastructure Fund, Asia Infrastructure Fund and asset manager Ninety-One. The funding supports a broader commitment made shortly after OADC’s launch in November 2021 to invest $500 million over five years to expand its data centre platform across Africa. WIOCC had previously raised $200 million to underpin the platform’s initial rollout.
South Africa’s Data Centre Market Outlook
South Africa remains Africa’s largest data centre market and continues to see strong growth as digital transformation accelerates across multiple sectors. Mordor Intelligence projects the market will reach $1.25 billion by 2030, while Arizton Advisory & Intelligence estimates it could expand to as much as $3.4 billion over the same period. Arizton points to a large consumer base, data localisation requirements and a vibrant technology ecosystem as key factors driving investment and reinforcing South Africa’s role as a central hub for data centre development on the continent.
