Colt Group SA (COLT), a U.K. provider of networking and data services, rose in London trading after securing an anchor tenant for a new data center in the Netherlands and predicting that revenue will gain this year.
Colt’s new center will give the fiber-network operator a total of 20 facilities across Europe from Lisbon to Copenhagen, it said today in a statement. The company operates in 21 countries, with direct-line connectivity in 39 cities, including London and Paris. Clients include investment manager Fidelity and McAfee, the security-software company owned by Intel Corp. (INTC)
The stock advanced 2.5 percent to 106.6 pence after rising to a seventh-month high in intraday trading. Colt has advanced the most this year among the seven members of the FTSE Fixed- Line Telecommunications Index (F3TELE), with the exception of Cable & Wireless Worldwide Plc, which is subject to a takeover bid from Vodafone Group Plc.
Colt’s first-quarter revenue increased 5.2 percent from a year earlier to 397.3 million euros ($525.5 million), the Luxembourg-registered company said in a separate statement today. Earnings before interest, taxes, depreciation and amortization rose 4.7 percent to 80.6 million euros.
“Our pipeline has continued to grow, particularly in managed services,” Chief Executive Officer Rakesh Bhasin said in the statement. “We remain confident that we will see further growth in revenue this year.”
The Netherlands data center, between Amsterdam, Rotterdam, Antwerp and Brussels, is due to open early next year, Colt said. It didn’t identify the anchor tenant.
To contact the reporter on this story: Peter Woodifield in Edinburgh at firstname.lastname@example.org.