KKR, SingTel bet big on global data center boom
Investment firm KKR and Singapore-based telco group Singtel are set to take over global data center builder ST Telemedia Global Data Centers (STT GDC), which has a presence in the Philippines as a partner of the Ayala Group, in a deal valued at $5.1 billion.
In a Feb. 4 news release on the STT GDC website, the KKR-Singtel consortium says it will acquire the remaining 82-percent stake in the data center company from founding shareholder ST Telemedia.
KKR will hold a 75-percent stake in STT GDC, while Singtel will own 25 percent.
Their buyout of ST Telemedia’s stake has been touted as “one of the largest digital infrastructure transactions in Southeast Asia”. It follows an initial $1.3 billion by KKR and Singtel in 2024 through preference shares and warrants.
“This acquisition is a significant step towards scaling our new growth engine in digital infrastructure,” says Arthur Lang, chief financial officer at Singtel. “STT GDC’s diverse geographical footprint increases our exposure to new markets and makes the Singtel Group a stronger data center player with global reach.”
The deal is expected to close early in the second half of 2026, subject to customary regulatory approvals and closing conditions.
STT GDC president and CEO Bruno Lopez says the deal will position the company to accelerate growth amid rising demand for cloud and artificial intelligence (AI) infrastructure.
“With the consortium’s global expertise, regional networks, financial strength and, most importantly, our shared ambition, STT GDC is poised to scale rapidly and capture the next wave of significant growth in cloud and AI demand,” Lopez says.
STT GDC is a Singapore-headquartered data center platform founded in 2016. It has since grown rapidly to 2.3 gigawatts of design capacity across 12 markets in the Asia Pacific, the United Kingdom and Europe.
