Pranav Hotkar
Singapore – June 17, 2026 – Thailand-focused data center operator Galaxy Data Center (Galaxy DC) is reportedly in discussions to acquire selected assets from ST Telemedia Global Data Centres (STT GDC), a move that could further accelerate consolidation in Southeast Asia’s rapidly expanding digital infrastructure market.
According to DealStreetAsia, Galaxy DC is evaluating opportunities involving STT GDC’s Thailand operations as demand for AI-ready and hyperscale infrastructure continues to reshape investment activity across the region. While financial terms and the scope of the potential transaction have not been disclosed, the discussions highlight growing investor appetite for strategic data center assets in Southeast Asia.
The reported talks come at a time of significant change for STT GDC. Earlier this year, a consortium led by KKR and Singapore Telecommunications (Singtel) agreed to acquire full control of the Singapore-headquartered operator in a transaction valuing the company at approximately SGD13.8 billion (~USD 10.9 billion). The deal underscored the increasing value being placed on large-scale digital infrastructure platforms as artificial intelligence and cloud computing drive unprecedented demand for capacity.
Founded in 2014, STT GDC has grown into one of the world's largest colocation providers, operating across Asia-Pacific, Europe, and the United Kingdom. The company currently has approximately 2.3 GW of design capacity spanning 12 markets, serving hyperscalers, cloud providers, and enterprise customers.
Thailand has emerged as one of Southeast Asia’s fastest-growing data center markets, attracting investments from global cloud providers and colocation operators seeking alternatives to more mature hubs such as Singapore. The country’s improving connectivity infrastructure, expanding digital economy, and supportive investment policies have made it an increasingly attractive destination for hyperscale development.
For Galaxy DC, a successful acquisition would strengthen its position in a market experiencing rising demand for AI infrastructure. Modern AI deployments require significantly higher power densities, advanced cooling systems, and scalable campus designs, creating opportunities for operators with access to strategically located facilities and power resources.
The reported discussions also reflect a broader trend of portfolio optimization among major data center operators. As infrastructure providers expand globally, asset sales, joint ventures, and regional acquisitions are becoming increasingly common as companies seek to recycle capital and focus on priority growth markets.
Neither Galaxy DC nor STT GDC has publicly announced a definitive agreement. However, industry observers expect merger-and-acquisition activity across Asia’s data center sector to remain strong as investors compete for assets capable of supporting the next wave of AI-driven digital infrastructure growth.
