New York-listed KKR & Co. Inc., is in talks to buy Singapore-based ST Telemedia Global Data Centres (STT GDC) in a deal said to be worth US$5 billion, according to reports, citing people familiar with the matter. KKR, also known as Kohlberg Kravis Roberts & Co., is one of the largest alternative asset managers in the world while STT GDC is one of the largest data center operators in Asia.
The parties could reach a deal in the coming weeks as talks are at an advanced stage but there is a chance it could still be delayed or aborted, said the people. KKR and STT GDC declined to comment.
KKR already owns 14.1% shareholding in STT GDC. If the deal is successful, this would be one of the largest for KKR this year, according to Bloomberg. A consortium of KKR and Singapore Telecommunications Ltd last year invested S$ 1.75 billion for a minority stake in STT GDC after a competitive process.
STT GDC has more than 100 data centres across 20 major markets including India, South Korea, Japan and Malaysia, as well as a presence in the UK, Italy and Germany. Its services span colocation to connectivity, and its growth underscores the surging demand for digital infrastructure.
KKR has ambitions to reach US$1 trillion in assets by 2030, according to reports. This year alone, it has acquired post-trade services firm OSTTRA for more than US$ 3 billion, Karo Healthcare for more than € 2.5 billion including debt, and London-listed Spectris Plc, a maker of precision testing equipment and software, for about £4.1 billion.
