MIDDLE EAST
REGIONAL CHANNELS
AND AFRICA
STC SUBSIDIARY CENTER3 ACQUIRES CMC NETWORKS LEVERAGING 2AFRICA CABLE ACQUISITION
center3 , a wholly owned subsidiary of the stc Group , announced that it has entered into a definitive agreement to acquire CMC Networks , a global service provider offering market networking solutions across Africa and the Middle East .
CMC Networks operates across more than 110 service locations with a cost-effective , scalable , and resilient data communications network . It has the largest pan-African network servicing 51 out of 54 countries in Africa and 12 countries in the Middle East , plus regional hubs in key interconnect locations across Europe , the Americas , and Asia Pacific .
The acquisition aligns with center3 ’ s strategic vision for growth and expansion in the Middle East and African markets . It represents a significant step in the company ’ s journey to extend its market presence and enhance its offerings in this dynamic and rapidly growing region .
CMC Networks is being acquired from the Carlyle Sub-Saharan Africa Fund , CSSAF . In 2020 , the CSSAF team formed a separate private equity firm , Alterra Capital Partners , which continues to advise CSSAF ’ s investments including CMC Networks .
Marisa Trisolino , Group CEO CMC Networks
Fahad Alhajeri , CEO at center3 , said , “ This acquisition is a landmark moment for center3 . CMC ’ s enviable global footprint , high value customer base and portfolio of capabilities is very complementary to center3 ’ s digital infrastructure and connectivity assets . This acquisition exemplifies our strategic commitment to enter key markets with significant growth potential .
“ Our previous investment in 2Africa Cable , coupled with this acquisition , underscores our conviction in Africa ’ s essential role in center3 ’ s future growth . We are excited about the possibilities that CMC Networks will bring including its wealth of knowledge , capability in the African region and promising growth in the Middle East .”
Marisa Trisolino , Group CEO of CMC Networks , said , “ Joining forces with center3 is a thrilling development for us . We share a common vision of further expanding in the African market and together we will be able to achieve more , innovate further , and deliver enhanced value to our customers . This acquisition will bring together the strengths of both companies , fostering innovation , enhancing customer service , and providing new opportunities for growth in the African and the Middle East market . We are excited about the future and the opportunities that this partnership will unlock for CMC Networks .”
Eric Kump , Partner at Alterra , said , “ This acquisition is a fantastic opportunity to bring the dynamic center3 and CMC Networks teams together .” center3 , a subsidiary of stc Group , was created to fulfil Saudi Arabia ’ s vision of becoming a global data and communications hub , leveraging its strategic geographical position to link Europe , Asia , and Africa , and to establish itself as a digital hub in the MENA region . With its extensive network of data centres and submarine cable systems , center3 is uniquely positioned to provide its specialised services across the region .
Alterra is an experienced pan-African private equity fund manager dedicated to investing in Africa . The Alterra team , operating out of offices in Johannesburg and Nairobi , have led over $ 1.0 billion of private equity investments into 23 companies across Africa . Alterra ’ s core focus sectors include business services , healthcare , technology , and telecommunications . •
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