Urban data centre operator scales to 11 sites with Redcentric deal

Stellanor Datacenters, an urban data centre operator based in London, has scaled from two sites to 11 facilities in a little over nine months, following its recent deal with Redcentric. The £122.9 million acquisition of Redcentric Data Centres Limited was originally announced in October 2025 and has now completed following the satisfaction of all conditions precedent.

The deal sees Stellanor Datacenters, which is backed by global investment manager DWS, acquire sites in Shoreditch, Hounslow, Woking, Gatwick, Byfleet, Reading, Cambridge, and Elland in West Yorkshire. Added to the firm’s existing locations in London and Hemel Hempstead, the deal takes the operator’s total secured grid capacity to 39MVA.

Michael Tobin CBE, chair of Stellanor, called the acquisition "a transformative step in building the UK's leading urban data centre platform.”

Tobin continued: "It enables Stellanor to serve the accelerating demand for enterprise colocation and AI-ready infrastructure across the UK, with further expansion into Ireland and the Nordic regions planned. We're building the platform for a digital future that's close to the businesses and people who depend on it."

Through the expansion of its portfolio, Stellanor is now positioned to capitalise on growing enterprise demand for high-performance colocation services. The company’s urban strategy is built around proximity, with the locations bringing infrastructure closer to businesses and users, thereby reducing latency and improving performance.

Following the acquisition, Stellanor is implementing infrastructure upgrades across its expanded network, with sustainability an increasingly central concern. Planned upgrades include high-density power capabilities, advanced cooling systems and enhanced fibre interconnection.

Through these upgrades, the operator is seeking to ensure that its platform can handle more intensive workloads, while maintaining continuity for the network’s existing customer base.

Discussing the sale, Redcentric Chief Executive Michelle Senecal De Fonseca said the divestment would enable the group to focus on its core managed services business.

She continued: "As a dedicated UK MSP with vast experience in supporting organisations in highly regulated markets, we're perfectly positioned to use this expertise to help businesses navigate an increasingly complex technology landscape.”

"We're confident our data centre clients will benefit from Stellanor's platform approach and DWS backing. We look forward to continuing to develop our partnership together and building on the strong ties we have built through this sales process."

Data centre acquisitions form a major part of a surge in Technology, Media & Telecoms M&A across the UK

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