African data center operator Raxio has raised an additional $46 million in equity financing from existing investors Roha and Meridiam. The funds will support Raxio’s expansion and development of new hyperscale-ready facilities across Africa.
The capital injection enables Raxio to meet the rising demand for reliable data solutions and enhance services across its growing footprint. “This will allow Raxio to continue expanding its presence and deliver the resilient, mission-critical environments customers require,” said CEO Robert Mullins.
Raxio aims to fuel businesses’ growth in the digital age by providing quality infrastructure across its seven key markets – Uganda, Ethiopia, Mozambique, Côte d’Ivoire, Democratic Republic of Congo, Angola and Tanzania.
Roha partner Brooks Washington noted this funding consolidates Raxio’s position as the widest-reaching data center provider in Africa as demand surges locally and abroad. Meridiam partner Mathieu Peller added it will power Raxio’s continued growth and impact in the accelerating digital revolution.
The $46 million comes shortly after Raxio secured up to $170 million in debt financing earlier this year. Raxio stated this makes it the best-funded independent data center platform on the continent, cementing its financial strength.
Alongside the funding news, Raxio announced Mullins’s plans to step down as CEO in mid-2024 after recently informing the board. The company has hired Egon Zehnder to find his successor.
Mullins reflected that building Raxio has been rewarding, but with four more data centers launching in the next 6-9 months, operations oversight and business development will become the focus. With funding secured to execute their business plan, Mullins felt it a natural time to transition leadership.
Raxio’s board aims to ensure continuity by initiating succession planning. Mullins will continue leading the company in the near term as expansion projects progress and a successor is onboarded over the coming year.
The additional capital and leadership transition plan position Raxio for sustainable growth as a leading pan-African data center platform. Raxio is poised to keep enabling digital transformation for businesses and organisations relying on its high-quality infrastructure.