MANILA, Philippines — Global investment firm KKR and Singaporean telecommunications giant Singtel have solidified their dominance in the digital infrastructure sector by acquiring the remaining 82-percent stake in ST Telemedia Global Data Centers (STT GDC) for $5.1 billion.
The deal, announced on February 4, 2026, marks one of the largest digital infrastructure transactions in Southeast Asian history. Following the acquisition, KKR will hold a 75-percent stake in the company, while Singtel will own the remaining 25 percent.
Capitalizing on the AI Boom The takeover is strategically timed to leverage the explosive demand for high-capacity data storage driven by the global adoption of artificial intelligence (AI) and cloud computing.
- Global Footprint: Founded in 2016, STT GDC has a design capacity of 2.3 gigawatts and operates across 12 markets in the Asia-Pacific, the United Kingdom, and Europe.
- Growth Engine: Arthur Lang, Singtel’s CFO, described the move as a major step in scaling their “new growth engine in digital infrastructure.”
- Timeline: The transaction is expected to close in the second half of 2026, pending customary regulatory approvals.
Philippine Presence and Local Impact In the Philippines, STT GDC is a prominent player through its joint venture with Globe Telecom and the Ayala Group.
- Local Capacity: The company currently manages nine data centers across Metro Manila, Cavite, and Davao, supporting a total IT load of 146 megawatts.
- Regional Networks: STT GDC CEO Bruno Lopez noted that the consortium’s financial strength and regional networks will allow the company to “scale rapidly” and capture the next wave of hyperscaler demand.
Historical Context This buyout follows an initial investment of $1.3 billion by KKR and Singtel in 2024 through preference shares and warrants. The full acquisition of the stake from founding shareholder ST Telemedia signals a long-term commitment by both KKR and Singtel to transform STT GDC into the world’s leading independent data center platform.
As Southeast Asian economies continue their digital pivot, the stability and scaling of firms like STT GDC are seen as critical to the region’s overall tech ecosystem and data sovereignty.
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