KKR and Singtel have announced a landmark acquisition of an 82% stake in ST Telemedia Global Data Centres from ST Telemedia, valued at S$6.6b (approximately US$5.1b). This transaction, facilitated by Citi as the lead financial adviser, represents the largest merger and acquisition deal in Singapore over the past four years and the largest data centre transaction in Southeast Asia to date.
The acquisition, which includes leverage and capital expenditure for committed projects, implies an enterprise value of approximately S$13.8b (approximately US$10.9b). Citi not only advised KKR and Singtel but also provided acquisition financing, underscoring its pivotal role in the transaction.
This strategic move highlights the growing importance of data centre colocation services in the region, as demand for digital infrastructure continues to rise. The acquisition is expected to bolster KKR and Singtel’s positions in the data centre market, enabling them to capitalise on the increasing need for robust digital infrastructure.
The transaction is a significant milestone for the involved parties, marking a substantial shift in the ownership structure of ST Telemedia Global Data Centres. As the digital economy expands, this acquisition positions KKR and Singtel to better serve the burgeoning data needs of businesses across Southeast Asia.
