Announcing approval for the investment today, Superloop CEO Daniel Abrahams, said that Project Red Lion was the next logical expansion that would leverage and extend the company’s existing core network operating between many of Singapore’s largest data centres and cable landing stations.
“The first phase of Red Lion will expand our network into more than 25 strategic commercial buildings that provide Superloop and its channel partners, as part of its upcoming channel partner program, with access to the regional headquarters of a number of multinational enterprises, among other potential customers.”
Abrahams said that with an incremental capital investment of less than $2 million, and with no material increase to the company’s operating costs, the expansion leverages Superloop’s existing core network and its strategic proximity to Singapore’s high-value CBD buildings and technology hubs.
In its ASX statement released today, Superloop also confirmed that its contracted recurring revenues now exceed the direct monthly network operating costs of the company’s existing Singapore and Australian networks once all services are provisioned.
Superloop also re-confirmed its expectation that the initial Singapore and Australian networks will be completed by the end of Q3, CY2015.
Superloop recently acquired a strategic underground duct network spanning approximately 120 kilometres in Singapore and is currently undertaking the rollout of its fibre optic network. Once completed, the Singapore fibre optic networks will interconnect major data centre and submarine cable landing station locations including Equinix SG1, SG2, SG3, Global Switch (Singapore), Digital Realty (Singapore) and Singtel’s Katong and Tuas Cable Landing Stations.