Equinix, a leading US-based data centre and colocation provider, has successfully completed the post-acquisition integration of Nigeria-born connectivity company MainOne. This significant milestone follows Equinix’s $320 million acquisition of MainOne in 2022 and marks a crucial step in establishing its presence in Nigeria’s rapidly growing data centre market.
The integration process involved the unification and reorganization of assets, resources, and personnel from both companies. MainOne employees have received new contracts as part of this transition, which included a salary increase. However, reports indicate that some employees felt the pay raise was lower than expected, resulting in delays in contract signings.
According to sources, the salary adjustments will only be reflected in March 2025, following the company’s financial year-end. An internal survey revealed dissatisfaction among a portion of employees regarding their new pay packages. While some acknowledged the fairness of the new salaries, concerns remain regarding their denomination in naira amidst economic fluctuations.
The integration took nearly two years due to the complexities involved in workload migration, including the transfer of data, applications, and IT processes across different environments. Such transitions are challenging, especially considering the size of the two companies and their distinct product portfolios, pricing structures, and operational support systems.
While MainOne has yet to publicly comment on the integration, this case reflects broader trends seen in similar acquisitions across Africa, such as those involving 9mobile and Medallion. Each case highlights the challenges of aligning corporate cultures, systems, and processes during mergers.
Equinix has ambitious plans for Nigeria, including the development of three new data centre projects, such as an interconnection hub in Victoria Island set for completion in 2025, a 1,000+ rack data centre in Lekki scheduled for 2026, and another centre in Port Harcourt, which is already under construction, propelled by the landing of Meta’s 2Africa submarine cable. This expansion is timely, as local operators are scaling up operations to meet the rising demand for data centre services in Nigeria.
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