The firm expects revenues of €100m by the end of this year.
Viatel says it is on the hunt for acquisitions as the telecommunications firm looks to invest €125m in a major expansion, funded by Proventus Capital Partners.
The Dublin-based company, which currently employs 220 people, said it plans to use the funding to invest in fibre infrastructure, cloud services and data centres.
The company, part of the Digiweb Group , said it would also targeting further acquisitions of companies operating in these sectors
"This is an exciting time for Viatel," says company CEO, Colm Piercy.
"While we already connect 150 data centres, and thousands of multinational enterprises and organisations across Western Europe, this investment will now enable us to enhance our services and to extend our reach further and deeper within Europe, and to connect new locations in the USA, Canada, the Middle East and Asia" he said.
Viatel, which owns 8,500km of transcontinental duct and fibre across Europe, is projected to have revenues of €100m by the end of this year.
"On foot of this investment, we are now expanding our sales, technical and product development and delivery teams in London, Dublin, Paris, Amsterdam and Frankfurt," said Piercy.
"Our new partnership with Proventus will enable Viatel to greatly accelerate our growth and to transform the European telecommunications sector into the future" says Piercy.
Henrik Bjerklin, investment director with Proventus Capital Partners, added: "Proventus Capital Partners is committed to working with dynamic and growth oriented businesses throughout Europe. In Viatel, we have found an exciting mix of opportunity and capability and we look forward to working closely with management to develop the company’s true potential."