US data gaint offers £2.3bn bid for UK’s Telecity

Telecity Group plc (formerly TelecityRedbus and before that Telecity), a European carrier-neutral datacentre and colocation centre provider which specialises in the design, build and management of highly connected, resilient and secure environments in which customers can house their telecoms, internet and IT infrastructure  had an offer of £2.31bn by Equinix, the largest US data centre group by market value for the budding  cloud computing market.

With advent of mobile devices, cloud computing  demand has spiralled and data centre companies have been competing to deal with soaring demands for new services and storage.

Equinix’s move is seen as an attempt to spoil Telecity’s proposed merger with Dutch rival Interxion.

Equinix’s cash and stock offer  of  £1.25bn in cash and the remainder in Equinix share, which values theFTSE 250 company  at £11.45 a share, a 27 per cent premium to its previous closing price.