KKR and Singtel to acquire remaining stake in data center firm STT GDC for over $5 billion

Private equity steadfast KKR and Singapore Telecommunications volition get the remaining 82% involvement successful information halfway relation ST Telemedia Global Data Centres for 6.6 cardinal Singapore dollars ($5.1 billion), KKR said successful a connection connected Wednesday.

The woody pegs STT GDC's endeavor worth astatine S$13.8 cardinal and comes astatine a clip erstwhile determination has been a leap successful information halfway request led by the roar successful artificial intelligence.

Following completion, KKR volition clasp a 75% involvement successful STT GDC, portion Singtel volition ain the remaining 25%, taking into relationship the conversion of existing penchant shares held by some investors.

KKR said the woody represents its largest infrastructure concern successful Asia Pacific to date, arsenic planetary concern successful information centers accelerates connected rising request for unreality computing and artificial quality workloads.

Global information centers' dealmaking deed a fresh record past year, driven by a unreserved to physique retired the infrastructure required for energy-intensive AI workloads, with S&P Global reporting that implicit $61 cardinal had flowed into the information halfway market, up from $60.8 cardinal past year.

"Digital infrastructure remains 1 of the astir compelling semipermanent concern themes globally," said David Luboff, co-head of KKR Asia Pacific and caput of Asia Pacific infrastructure, citing STT GDC's diversified footprint and improvement pipeline.

Founded successful 2014 and headquartered successful Singapore, STT GDC operates information centers crossed 12 markets successful Asia Pacific, the United Kingdom and Europe, with 2.3 gigawatts of plan capacity. The institution provides colocation, connectivity and enactment services to hyperscalers and endeavor customers.

"STT GDC's divers geographical footprint increases our vulnerability to caller markets and makes the Singtel Group a stronger information centre subordinate with planetary reach," said Arthur Lang, radical main fiscal serviceman astatine Singtel.