Case Studies | JLA Advisors Real Results & Success Stories

Due Diligence for Edge and Regional Data Centers

JLA conducted due diligence for a mid-tier private equity firm to acquire and build a regional data center company targeting edge computing growth.

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About the client

A private equity firm focused on the digital infrastructure industry and the middle market needed due diligence, including a market assessment to evaluate potential demand.

Aimed to grow its platform through both organic and inorganic means while creating operational synergies across connected centers.

The Challenge

01

Many use cases around edge computing, 5G, content distribution, and high-performance computing were nascent.

02

Performance in regional data centers across the market was mixed, with specific market dynamics that drove success

03

The trend of moving workloads to central cloud providers caused concern regarding churn and future market development.

JLA Approach

Over a three-project set, performed detailed market analysis, supported by industry SME interviews, to develop a detailed view of expected market demand.
Interviewed the current targets’ customers representing a cross-section of industries and use cases, to inform a baseline forecast.
Developed a bottoms-up forecast based on business activity and competition to inform an addressable market forecast for the traditional colocation market.

Outcomes

01

The client completed three successive acquisitions, building a successful regional franchise in colocation, hybrid cloud, and AI services.

02

Once the acquisition was complete, JLA was asked to develop and execute a channel strategy, along with a partnership program to establish key industry relationships for the data centers.

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Due Diligence for Edge and Regional Data Centers

Lets Discuss Your business goals​

About the client​