> TeraGo signs its largest-ever, multi-million dollar, multi-year colocation agreement
Toronto – August 15, 2017 – TeraGo Inc. (“TeraGo” or the “Company”) (TSX: TGO, www.terago.ca), today announced that it has signed the largest data centre services agreement in Company history. The colocation agreement with a Canadian IT services provider is in respect to the Company’s Vancouver Vault data centre facility.
The services pursuant to this multi-year, multi-million dollar agreement are expected to be provisioned in the fourth quarter of 2017, ramping to full implementation by the first half of 2018. When fully implemented, TeraGo’s data centre utilization will approach approximately 40%.”
“We are pleased that our efforts to deliver on our strategic plan are bearing fruit”, commented Tony Ciciretto, President and CEO of TeraGo. “We are committed to creating value for our customers and shareholders by unlocking the value of our existing assets. Our hybrid IT messaging is resonating well with mid-market customers and with our data centre and network assets, we are uniquely positioned to help customers put their IT workloads in the right place, be it on-premise, colocation, private cloud or public cloud with AWS.”
TeraGo provides businesses across Canada and internationally with cloud, colocation and connectivity services. TeraGo manages over 3,000 cloud workloads, operates five data centres in the Greater Toronto Area, the Greater Vancouver Area, and Kelowna, and owns and manages its own IP network. The Company serves approximately 4,000 business customers in 46 major markets across Canada including Toronto, Montreal, Calgary, Edmonton, Vancouver and Winnipeg. TeraGo Networks is a Competitive Local Exchange Carrier (CLEC) and was recognized by IDC as a Major Player in MarketScape Cloud Vendor Assessment. TeraGo Networks was also selected as one of Canada’s Top Small and Medium Employers for 2017.
This press release includes certain forward-looking statements that are made as of the date hereof. Such forward-looking statements may include, but are not limited to, statements relating to TeraGo’s strategic plan, unlocking value of existing assets, IT workloads on public cloud with AWS, provisioning of services under largest-ever data centre services agreement and data centre utilization rates. All such statements are made pursuant to the ‘safe harbour’ provisions of, and are intended to be forward-looking statements under, applicable Canadian securities laws. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements. The forward-looking statements reflect the Company’s views with respect to future events and is subject to risks, uncertainties and assumptions, including the risk that TeraGo’s growth strategy, strategic plan, and investments will not generate the result or sustainable growth intended by management, delays in provisioning services, and those risks set forth in the “Risk Factors” section in the annual MD&A of the Company for the year ended December 31, 2016 available on www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking statements as a number of factors could cause actual future results, conditions, actions or events to differ materially from the targets, expectations, estimates or intentions expressed with the forward-looking statements. Except as may be required by applicable Canadian securities laws, TeraGo does not intend, and disclaims any obligation, to update or revise any forward-looking statements whether in words, oral or written as a result of new information, future events or otherwise.