KKR and Singtel in talks to fully acquire STT GDC in a USD 3.9 billion data centre deal

Singapore, November 6, 2025- Private equity giant KKR and Singapore Telecommunications (Singtel) are reportedly in advanced talks to acquire full ownership of ST Telemedia Global Data Centres (STT GDC) in a deal that could value the company at more than USD 3.9 billion, according to industry sources familiar with the matter.

The two companies already hold minority stakes in STT GDC, KKR, with around 14% and Singtel with just over 4%, while the remaining majority stake is owned by ST Telemedia, a wholly owned subsidiary of Singapore’s state investor Temasek Holdings.

If completed, the deal would mark one of the largest data centre transactions in Asia this year, reflecting how demand for digital infrastructure is surging as artificial intelligence and cloud workloads reshape the regional computing landscape.

KKR, Singtel, and ST Telemedia have not commented publicly on the reported negotiations. The talks come just months after KKR and Singtel jointly invested about USD 1.34 billion in STT GDC earlier this year, signalling a strategic alignment aimed at deepening their presence in the rapidly growing data centre market across Asia-Pacific.

STT GDC, one of the world’s largest data centre operators, manages over 30 facilities across Singapore, India, the UK, and Southeast Asia, providing services to hyperscale and enterprise clients. The company has been expanding aggressively, targeting sustainable operations and AI-ready infrastructure to support next-generation workloads.

For KKR, which has been active in the global digital infrastructure space, the move would strengthen its portfolio of energy-efficient and hyperscale-ready assets. For Singtel, the deal aligns with its strategy to move deeper into infrastructure and cloud-adjacent businesses, moving beyond its traditional telecom core.

While final terms are still being discussed, analysts say a full acquisition by KKR and Singtel would consolidate control and simplify future capital planning for expansion. Regulatory and shareholder approvals are expected to follow once a definitive agreement is reached.

The deal, if confirmed, underscores the accelerating convergence of telecom, investment, and infrastructure sectors in meeting Asia’s soaring AI and cloud computing demand, and further cements Singapore’s role as the data centre capital of the region.