A major acquisition took place in 2022 as Equinix, a global data center and colocation provider, successfully integrated Nigeria’s MainOne following a $320 million deal.
Post-acquisition integrations involve combining assets, resources, and people to achieve the efficiencies driving the merger or acquisition.
Employees at MainOne received new employment contracts with a pay increase, although some were not satisfied with the extent of the raise, leading to delays in signing the new agreements.
The integration process, spanning almost two years, primarily involved migrating workloads, which includes transferring applications, data, and IT processes across different environments.
Integrating systems can be a complex task, influenced by factors like the size of organizations, differences in product portfolios, pricing structures, and operational systems.
Post-acquisition integration typically follows an acquisition, requiring a strategic approach to merging corporate culture, operations, technology systems, and processes.
MainOne will retain its brand as “MainOne, Solutions by Equinix,” with its data center division operating under the Equinix name. The gradual integration of Equinix’s global culture is anticipated.
Equinix’s expansion plans in Nigeria include launching several data center projects to meet the increasing demand for data centers in the country.
The telecom industry in Nigeria is witnessing growing competition in the data center market, with major players like MTN and Airtel entering the sector.
Equinix’s fiber network in Nigeria is being enhanced to connect various regions, with plans to extend connectivity through the 2Africa cable to Port Harcourt in Rivers State.
MainOne’s acquisition marks Equinix’s entry into the African market, with subsequent expansions planned in South Africa, including the launch of a new data center in Johannesburg.