Khaitan & Co advised colocation data centre provider Web Werks and its promoters when they agreed a joint venture with New York-listed Iron Mountain. Cyril Amarchand Mangaldas advised Iron Mountain.
Under the deal Iron Mountain will invest US$150 million over the next two years to become the majority shareholder in Web Werks, was announced on 24 February. The first phase of the transaction is expected within months.
Khaitan & Co partner Deepak Jodhani who was the lead on the deal told India Business Law Journal that “structuring the rights package and its interplay at various stages of investment was crucial, and distinct from a typical joint venture”. The other members from the firm who worked on the deal were principal associate Ashutosh Sharma, senior associate Gautam Suseel and associates Amulya Sharma, Reshma Abraham and Utsav Lohia.
While the investment will enable Web Werks to expand its operations, Iron Mountain said it was making the investment “to support its existing hyperscale, network, content and enterprise customers looking to expand and scale in the rapidly growing pan-India region”.
