27 July, 2006
IXEurope acquires second datacentre in Paris
IX Europe Plc (“IXEurope” AIM: IXE), one of Europe's largest and fastest growing datacentre services providers, has acquired a second datacentre in Paris (Paris2 IXDatacentre) to accommodate strong growth from enterprise, internet and telecoms customers. This expansion is in addition to IXEurope building out a further 1,500m2 at its existing site in Roissy (near Charles de Gaulle airport). Acquisition and capital expenditure costs for Paris2 will total �2.7m: estimated at �2.0m in 2006 and �0.7m in 2007.
With approximately 1,700m2 of net space, the new IXDatacentre will provide further expansion for IXEurope in this growing market. Located in St. Denis, Paris2 provides an excellent quality datacentre close to the centre of Paris. Once work has been completed to bring the facility up to IXEurope's high standards, the new IXDatacentre will be connected by redundant networks to the Roissy IXDatacentre providing a unique dual-site solution which will particularly benefit financial sector customers. IXEurope intends to provide access to the new Paris2 IXDatacentre to anchor customers for installation and testing in Q4 2006. The new facility is expected to generate positive EBITDA for the financial year 2007.
The datacentre, originally built by Viatel Inc in 2000, has a specification that provides an excellent base for IXEurope's industry-leading standards for security, environmental control and power and already has multiple fibre optic connectivity from eight providers including France Telecom, COLT, Flag and Global Crossing.
Paris2 will be IXEurope's fourteenth IXDatacentre across Europe following the recent announcements of expansion in the UK, Germany and Switzerland.
Guy Willner, CEO of IXEurope commented
"We are very excited about this substantial and immediate expansion of our capacity in France to address our growing pipeline of business. As with all our datacentre asset acquisitions we have conducted a rigorous review of all potential sites on the market and this is the only property available to meet IXEurope's high standards.
The new facility is of particular interest to the financial sector as the distance between sites is sufficient for effective dual-site strategies but not too far to preclude direct fibre links.”
For further details
Guy Willner, Chief Executive
Karen Bach, Chief Financial Officer
020 7689 1400
Adrian Duffield/Corinna Dorward
020 7457 2020
IXEurope is one of Europe's fastest growing providers of datacentre services. Its principal activities include primary datacentre services, connectivity services and business continuity solutions.
IXEurope works with enterprise and internet customers to provide resilient datacentre infrastructure to house their IT systems far more cost-effectively than through in-house provision. The benefits include optimised IT performance, improved systems availability and reduced corporate risk through improved regulatory compliance. By continually focusing on quality, IXEurope also gives clients exceptional service levels and on-site access to a high level of technical expertise.
With award winning datacentre facilities in key European cities, broad technology expertise and a proven track record, IXEurope provides solutions that give customers the confidence that their operations are protected. The Company has over 400 customers in the enterprise, internet and networking markets including Merrill Lynch, Google, Network Rail and France Telecom.
Founded in 1998, IXEurope was listed on the London Stock Exchange in April 2006.
For more information please visit the website at www.ixeurope.com
Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX centers and developing, deploying and delivering Equinix services; unanticipated costs or difficulties relating to the integration of IXEurope into Equinix; a failure to receive significant revenue from customers in recently built out data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; the results of any litigation relating to past stock option grants and practices; and other risks described from time to time in Equinix's filings with the Securities and Exchange Commission. In particular, see Equinix's recent quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
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