Private investment firm Bain Capital yesterday announced that its data center arm, WinTrix DC Group has signed a binding agreement to sell its entire stake in its China operations (Chindata) valued at US$4 billion to a consortium led by HEC Group. The transaction is believed to be the largest merger and acquisition deal in the history of China’s data center industry and underscores sustained investor demand for scalable, next-generation digital infrastructure in China, according to Bain Capital’s press release.
The consortium comprises institutional investors which include insurance companies and local government funds.
Formerly known as Chindata Group Holdings, the China operations of data centre operator WinTriX DC Group, has since 2018, entrenched its presence as a leading hyperscale data center platform in China with operations in the Greater Beijing Area, the Yangtze River Delta Area, and the Greater Bay Area – three key economic zones in China.
“Chindata’s journey reflects Bain Capital’s strategy of partnering with outstanding management teams to build category-defining infrastructure platforms. Today, Chindata has evolved into one of China’s leading digital infrastructure platforms, with unmatched scale and technical capabilities. We believe HEC will continue to build on this legacy, bringing its strong industrial capabilities to support the next phase of Chindata’s development,” said Jonathan Zhu, a Partner and Chair of China at Bain Capital.
Chindata CEO, Wu Huapeng, said in a press release: “By combining Chindata’s leadership in advanced cooling technologies with HEC’s expertise in liquid-cooling materials and precision manufacturing, we will drive a new model of power–compute synergy and set new benchmarks for sustainable development. Together, we will reinforce Chindata’s position as a leading player in the national ‘Eastern Data, Western Computing’ initiative and unlock broader opportunities across the AI industry value chain.”
“This acquisition is a key step for HEC to participate in this national strategy and advance the integrated computing network. After completion, we will prioritize continuity and stability. By combining HEC’s strengths in liquid-cooling with Chindata’s capabilities, we will build a collaborative ecosystem — from green power to AI and operations — and deliver hyperscale, intelligent, and sustainable computing infrastructure as a foundation of the digital economy,” said Zhang Yushuai, Chairman of HEC Group.
