CVC DIF Acquires German Data Center Operator firstcolo

CVC DIF, the infrastructure arm of global private markets firm CVC, is set to acquire a controlling stake in firstcolo, a prominent German operator of colocation data centers. The transaction, executed through DIF Value Add IV, targets the strategically important Frankfurt market, a region experiencing significant demand for digital infrastructure. This move signals a strong conviction in the ongoing digital transformation across German enterprises and the critical role of resilient data center capacity.

The acquisition positions CVC DIF to capitalize on the structurally undersupplied Frankfurt data center market. firstcolo, founded in 2007 and based in Frankfurt, currently serves over 350 enterprise clients with its colocation, cloud, and managed services. The company operates two well-established facilities that are nearing full utilization, underscoring the robust demand for its integrated, one-stop-shop service model which fosters strong customer loyalty and recurring revenue streams.

A cornerstone of firstcolo's expansion under CVC DIF's ownership will be the development of FRA7, a new 24 MW greenfield facility located in the Frankfurt metropolitan area. This project is significantly de-risked, with site acquisition, permits, power supply agreements, and turnkey construction arrangements already secured. The development is further bolstered by pre-committed tenant capacity and strong market interest, providing a solid foundation for its successful ramp-up. Notably, the project includes a partnership with a regional utility provider for energy supply and will repurpose waste heat for local district heating, aligning with sustainability goals.

This investment aligns with broader market trends, including the accelerating adoption of cloud services, the increasing need for robust digital infrastructure to support AI workloads, and the ongoing digitalization efforts by businesses across Europe. The Frankfurt region, a key digital hub, faces persistent supply constraints, making new, high-capacity developments like FRA7 particularly valuable. Comparable recent investments in European data center infrastructure have demonstrated strong investor appetite for assets with clear growth trajectories and strategic market positioning.

firstcolo's experienced management team, including CEO and Co-founder Jerome Evans and COO and Co-founder Nicolaj Kamensek, will continue to lead the company. Their focus will be on executing the FRA7 development and identifying further opportunities to build out a scalable, high-performance data center platform across Germany. The company aims to combine resilient infrastructure, energy-efficient design, and specialized enterprise services to meet the evolving demands of its clientele.

Willem Jansonius, Managing Partner at CVC DIF, highlighted the rarity of acquiring such a high-quality, founder-led platform in a key European market. He emphasized firstcolo's blend of a cash-generative existing business and a well-advanced expansion project. Stefan Moosmann, Head of DACH at CVC DIF, added that the deal exemplifies their local-for-local strategy, leveraging deep market knowledge and sector expertise to identify and develop promising opportunities.