India-based, Tulip Telecom, recently announced plans to sell a stake of its current stocks so it can increase investments in the data center market.
According to a recent Wall Street Journal report, the company provisions server racks for major telecom providers, including India’s AT&T branch, and it hopes to expand its services to reach more customers and deploy more advanced technology.
As a result, it is planning to sell stock shares valued at approximately $60.3 million to increase its data storage capabilities, Sanjay Jain, CEO for Tulip Telecom, told the news source.
Jain told the Wall Street Journal that the market for those shares is already heating up, as many companies are showing significant interest in purchasing Tulip Telecom stock.
The report said Tulip Telecom’s investments come during a time when CyberMedia Research expects 23 percent expansion in India’s data center industry during a three-year period. By selling some of its shares, the company expects to take advantage of the market’s growth to expand its own services.
The data center industry’s expansion comes at a time when technology is becoming incredibly advanced. A recent ZDNet report explains that many data centers are currently deploying efficiency-related technologies that many would have branded science fiction just a few years ago.