Investment firm KKR & Co and Singapore Telecommunications (Singtel) are reportedly in advanced talks to buy more than 80% of ST Telemedia Global Data Centres, according to Reuters, citing sources it did not name.
Singtel shares as at 3.43pm is up 4.92% thus far for the day to trade at $4.48, which brings it to a year-high.
If this deal materialises, KKR and Singtel, which are already in an existing venture to build data centres together, will gain full ownership over GDC, for over $5 billion.
KKR currently owns about 14% of GDC while Singtel has a stake of more than 4%.
The rest of GDC is held by ST Telemedia, wholly owned by Temasek Holdings, which is also the controlling shareholder of Singtel.
According to Reuters, if successful, the deal would rank among Asia's biggest data centre transactions, with the boom in artificial intelligence creating soaring demand for digital infrastructure.
