Goldman Sachs invests $15m in IXcellerate

IXcellerate, operator of the leading commercial data centre in Russia, has signed a $15 million convertible loan agreement with Goldman Sachs.

The funding will be used to support company growth and expand the IXcellerate Moscow One data centre, which opened in 2012 and is located in northern Moscow.

Two new data halls will be built in the coming months to colocate 1,100 and 350 racks respectively. Approximately 20% of this capacity is already reserved by existing and potential customers. Once both data halls are commissioned, IXcellerate says it “will be the third largest player among all operating commercial data centres in Russia in terms of total rack capacity”.

Goldman Sachs has become the third key investor in IXcellerate (together with IFC and Sumitomo Corporation) and will hold approximately 25% of shares following conversion. The total sum of funding that IXcellerate has attracted in international markets for its Russian project amounts to $35 million.

“Since the launch of our data centre in Russia, we have been consistently moving towards becoming one of the market leaders,” said Guy Willner, CEO and co-founder of IXcellerate.

“Our main competitive advantages are infrastructure quality and full transparency of our business as well as the highest level of customer service. In the nearest future, we are planning to expand further and rely not only on organic market growth and new investments, but also considering merge and acquisition opportunities”.

The IXcellerate Moscow One campus will be able to collocate 2,185 racks following the projected expansion.

Dmitry Bederdinov, iKS-Consulting, said: “New significant international investments will have a positive impact on the growth of the Russian commercial data centre market. Large and resilient data centres with enough resources to come up with competitive bids will have the advantage in terms of customer service and overall sustainability. IXcellerate’s new 1,100-racks data hall will become the largest in Russia, allowing the company to substantially strengthen its market positions”.

In 2016, IXcellerate was recognised as the fastest growing data centre in Russia in terms of “filled-up and operational racks”. Among IXcellerate’s clients there are well-known Russian and international companies, such as: Thomson Reuters, Orange Business Services, RETN, Telia, NTT Communications, Evroset, Softline, Onlanta, and FORS Distribution.