In sum – what you need to know
Colt offloads – networking firm sells eight European data centres, including six to NorthC and two to a UK firm, to refocus on digital infrastructure for AI growth.
Supply deal – 400 customers and network ties stay with Colt, ensuring continuity; Colt also inks a long-term deal to keep its network gear at NorthC sites.
Euro foothold – NorthC boosts capacity in Germany and Amsterdam, with goal to dominate regional data centre market in Benelux and DACH regions.
Digital infrastructure company Colt Technology Services has sold six of its data centres in major European cities to Netherlands-based data centre provider NorthC. Colt will also divest two of its data centres in London to a UK-based data centre business, it said. The eight data centres are located in Amsterdam, Berlin, Dusseldorf, Frankfurt, Hamburg, Munich, plus the two in London. They were all acquired with Colt’s $1.8 billion acquisition of the EMEA subsidiary of US-based Lumen Technologies (Lumen EMEA) in 2023.
Two two buyers, NorthC and the unnamed UK firm, are both owned (or majority-owned) by German asset management company DWS Group. A colocation business of around 400 customers will transfer from Colt as part of the deal. The majority of these also purchase network products from Colt and will remain Colt customers, it said. Colt will enter into a “long-term” deal with NorthC, as well, to retain network equipment within the six sites. Colt said it will “core strategy to deliver sustainable digital infrastructure to… power the AI economy”.
It claims to connect 32,000 buildings and around 275 points-of-presence (PoPs) in 40-odd countries. Its infrastructure includes 10 sub-sea cable systems. It also co-manages Lumen AS3356, described as the “most widely-peered internet network in the world”. Keri Gilder, chief executive at Colt, said: “The sale enables us to focus on building our strengths in key strategic areas, driving growth, committing to an outstanding customer experience and building sustainable digital infrastructure.”
The deal with NorthC, covering the sites in Germany and its home country with a total power capacity of 25 MW, expands the Dutch firm’s data centre footprint in Europe – notably, in the Benelux and DACH regions, also covering Switzerland. “[The deal] establishes nationwide coverage in Germany. It also adds significant available capacity in Amsterdam, one of NorthC’s core markets,” it stated. It sells capacity to enterprises, businesses, cloud service providers, government organisations, and other institutions.
Alexandra Schless, chief executive at NorthC, said: “This represents another major milestone in our journey to operate the leading platform of regional data centers in northwestern Europe. Germany, as Europe’s largest economy, is a key strategic market for us. With this acquisition, we will strengthen our presence across key economic regions in Germany, which will unlock further growth and new opportunities. We’re also pleased to further expand our partnership with Colt as one of the major network providers within the rich connectivity ecosystem in each facility.”
The deal is subject to customary conditions. The sale is separate to Colt Data Centre Services, which has operated as a separate entity to Colt since 2023. Colt Data Centre Services designs, builds, and operates data centres for hyperscalers and large enterprises.
