Dubai conglomerate invests in Irish data centre business

19 Oct 2021

Image: © pinkeyes/Stock.adobe.com

Hussain Sajwani’s Damac Group is eyeing the European data centre market following its investment in Irish company Dataplex.

Irish data centre business Dataplex has entered into a partnership and secured investment from Dubai-based conglomerate Damac Group. The Irish Times reports that the investment is $100m.

Damac Group is the private investment arm of billionaire property tycoon Hussain Sajwani. It recently entered the data centre market through its launch of Edgnex, a global digital infrastructure company headquartered in Dubai.

Future Human

The group’s investment in Dataplex will result in it becoming up to a 45pc shareholder over time. The partnership will focus on data development projects in Europe.

These projects will include retrofitting existing structures on brownfield sites, as well as larger greenfield projects that will focus on hyperscale and wholesale colocation developments.

“Damac Group, through its global digital infrastructure company Edgnex, is developing data centre facilities to support the growth of digital economies across the globe. Our work with Dataplex enables us to serve exponential demand coming from local markets, driven by rapid digital transformation, booming digital economies and growing internet users,” said Sajwani.

Damac and Dataplex shareholders Chirisa recently acquired land in Abbotstown, Co Dublin, for a data centre and industrial campus development.

Over the coming months, Edgnex will be announcing more acquisitions, as well as building projects and partnerships focused on developing data centre facilities in emerging or underserved markets.

“Damac Group has a unique vision for the data centre market, and we look forward to helping it to bring its disruptive model to more cities around the world,” said Eddie Kilbane, co-founder and CEO of Dataplex Group.

“Together with Damac Group, we can deliver digital infrastructure in underserved markets and support the growth of local digital economies.”

Ireland is just the latest location for the investment group, which has diverse interests in markets all over the world from fashion to hospitality and property.

Established in 1992, Damac Group’s global footprint extends across the US, Europe, Asia, the Middle East and Africa. The investment company plans to deploy approximately $3bn over the next few years in key markets across Western Europe and the US.

“We have a track record of recognising opportunities, making significant investments and capturing a first-mover advantage. We are driven by market dynamics, not just by who needs capacity now. Where we go, others follow,” Sajwani said.

Data centres are a hot topic in Ireland at the moment. EirGrid recently predicted that data centres could account for a quarter of the country’s electricity usage by 2030, which will result in “electricity supply challenges”. While some politicians have called for a moratorium on data centre construction, some experts believe they could be part of the solution to Ireland’s energy crisis.

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Blathnaid O’Dea is Careers reporter at Silicon Republic

editorial@siliconrepublic.com