Liquid-cooling specialist 3C has completed its merger with UK data centre engineering company Datalec Precision Installations, creating a combined business targeting $1 billion in annual turnover within three years.
The new company, 3C Datalec, is forecasting more than $400 million in revenue for 2026 and employs approximately 1,000 people across operations spanning 24 countries.
The merger brings together 3C’s liquid-cooling expertise with Datalec’s existing mechanical and electrical engineering, manufacturing, connectivity installation and facilities management services.
The combined business is currently operating in more than 16 countries, with customers including four of the world’s five largest hyperscales and more than 255 colocation providers. As the AI boom continues, the firm will be hoping to leverage those partnerships to further grow its revenue.
Investment to support international growth
Much of that growth will come from international markets, as well as future acquisitions. That’s because some of the capital raised as part of the merger, which was backed by Longbow Capital, S2G Investments, Apogem Capital and QIC, has been specifically allocated towards future acquisition targets.
While that doesn’t confirm who may be in the crosshairs, it could help the firm achieve the $1 billion of revenue it hopes to generate within the next three years, without relying on organic growth alone.
Additionally, over the next 12 months, 3C Datalec plans to recruit 200 engineers and open new facilities in Warsaw, Poland; Calgary, Canada; and Austin, Texas.
The combined company will be led by Steve Walton, former CEO of CoolIT Systems, who founded the US-based 3C business. Datalec will lead the group’s operations across Europe, the Middle East and Asia-Pacific, with its global headquarters remaining in Hertfordshire.
Founded in 2012, Datalec has expanded considerably in recent years, reporting turnover exceeding $239 million in 2025, compared with just over $63 million in 2022.
Walton believes bringing specialist cooling capabilities together with engineering, construction and operational services will become increasingly important as operators deploy higher-density AI infrastructure.
“The hard part now is making cooling, power, construction and operations work as one system, while running at scale. We’re combining our liquid cooling expertise with Datalec’s engineering, manufacturing and FM capabilities, so customers have one partner from design to operation,” he said.
The merger follows several major acquisitions as data centre infrastructure suppliers seek to expand their technical and operational capabilities.
In December 2025, Vertiv completed its $1 billion acquisition of PurgeRite, adding specialist fluid-management expertise to its liquid-cooling services business.
Meanwhile, Eaton completed its acquisition of Boyd Thermal back in March, expanding its thermal-management capabilities alongside its existing electrical infrastructure portfolio.
