Cellnex sells French data center business to Vauban Infra Fibre

Cellnex sells French data center business to Vauban Infra Fibre - Professional coverage

Cellnex Divests French Edge Data Center Portfolio to Vauban Infra Fibre in €391 Million Deal

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Strategic Sale to Refocus Core Operations

European telecommunications infrastructure giant Cellnex has entered into a definitive agreement to divest its French data center operations to Vauban Infra Fibre (VIF) in a transaction valued at €391 million ($457.6 million). The deal, structured through a put option agreement for 99.99 percent of Towerlink France, represents a significant strategic realignment for Cellnex as the company shifts focus toward its core tower business segments across Europe.

This transaction underscores the ongoing consolidation within the digital infrastructure sector, where specialized operators are acquiring complementary assets to strengthen their market positions. The move follows similar strategic shifts across the industry, mirroring patterns seen in other technology sectors where companies are streamlining operations to enhance shareholder value.

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Vauban’s Expanding Digital Infrastructure Footprint

Vauban Infra Fibre, backed by Vauban Infrastructure Partners, Crédit Agricole Assurances, and Raffles (a subsidiary of GIC), is acquiring Towerlink’s extensive portfolio of urban Edge data centers across France. The acquisition significantly expands VIF’s existing fiber network operations and represents a strategic diversification into the rapidly growing data center market.

Steve Ledoux, CEO of VIF, emphasized the strategic importance of the acquisition: “Towerlink will thrive within VIF by continuing to deliver our common ambition and accelerate our development in the data center market. We anticipate implementing attractive synergies with other French data centers and digital assets within our portfolio.”

Towerlink’s Established French Presence

Towerlink, founded in 2018, has developed a substantial footprint across France with its Edge data center operations. Through its NexLoop unit, Cellnex has deployed approximately 80 of 130 planned facilities, totaling 1,140 square meters of operational space with 362kW of power capacity. An additional 546 square meters and 314kW remain under construction, demonstrating the scalability of the acquired assets.

The deployed facilities span key French markets including Lille, Strasbourg, Paris, Quimper, Nantes, Bordeaux, Lyon, Grenoble, Marseille, and Nice. This geographic diversity provides VIF with immediate nationwide coverage and established infrastructure in major economic centers.

Strategic Rationale and Market Implications

Cellnex CEO Marco Patuano explained the divestment decision: “We remain committed to operational excellence and disciplined capital allocation, always with the objective of delivering sustainable growth and long-term value for our shareholders. This transaction allows us to concentrate resources on our core business areas while ensuring the French data center operations transition to an owner better positioned to maximize their potential.”

The deal strengthens VIF’s partnership with Bouygues Telecom, Towerlink’s primary client, and enhances the company’s competitive positioning in the French digital infrastructure market. This strategic move occurs against a backdrop of increasing global competition for critical infrastructure assets and technological resources.

Broader Industry Context and Future Outlook

The transaction reflects broader trends in digital infrastructure investment, where specialized funds are increasingly targeting data center assets to capitalize on growing demand for edge computing and distributed network capabilities. Vauban Infrastructure Partners, which has raised approximately €10 billion across eight infrastructure funds, brings substantial financial resources and expertise to support Towerlink’s continued expansion.

Gwenola Chambon, founding partner of Vauban Infrastructure Partners, noted: “VIF’s proposed investment in Towerlink confirms our strong commitment to finance infrastructure assets that are essential to the development of local communities, alongside our historical partners.”

The deal also highlights the evolving nature of infrastructure investment strategies, where traditional physical assets are increasingly complemented by digital infrastructure. This trend parallels developments in other sectors where sophisticated computational approaches are transforming investment methodologies and asset management practices.

Advisory Teams and Transaction Details

The transaction involved comprehensive advisory support from leading financial and legal institutions. Cellnex engaged BBVA and CACIB as M&A advisors, HSFK for legal and tax advisory services, and Analysys Mason as commercial advisor. Vauban Infra Fibre’s advisory team included Nomura for M&A and debt advisory, Clifford Chance Europe LLP for legal counsel, Altman Solon for commercial and technical due diligence, Eight Advisory for financial and tax analysis, and Marsh for insurance advisory services.

The all-cash nature of the transaction provides Cellnex with immediate liquidity to reinvest in its core tower operations across Europe, where the company manages more than 110,000 sites spanning ten countries. This strategic focus aligns with industry trends where companies are streamlining operations to enhance operational efficiency and strategic positioning in competitive markets.

Future Development and Market Positioning

The acquisition positions VIF to capitalize on the growing demand for edge computing infrastructure in France, particularly as telecommunications providers and enterprises increasingly require distributed computing resources closer to end-users. This technological evolution reflects broader industry transformations where advanced computing capabilities are becoming essential components of digital infrastructure.

VIF’s existing portfolio includes management of more than 13 million FTTH connectable lines through 25 assets across rural, urban, and medium-density areas. The integration of Towerlink’s edge data centers creates opportunities for bundled service offerings and enhanced network capabilities throughout France.

The transaction also demonstrates the increasing importance of specialized infrastructure investment in supporting digital transformation, a trend that parallels developments in content delivery and media distribution where technology platforms are driving industry evolution through innovative service models and infrastructure investments.

Completion of the transaction remains subject to customary closing conditions and regulatory approvals, with both companies anticipating a smooth transition that will maintain service continuity for existing clients while enabling accelerated development of France’s digital infrastructure ecosystem.

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