GIC and Mubadala Investment Company are in advanced talks to join KKR and Singapore Telecommunications in a potential acquisition of STT GDC, a transaction that could value the Asian data-centre operator at more than $10bn including debt, according to Bloomberg.

Sources familiar with the matter cited by Bloomberg said the sovereign wealth funds from Singapore and Abu Dhabi would participate as minority co-investors alongside KKR. The consortium is finalising deal terms, with an announcement possible as soon as this week.

KKR and Singtel are understood to be in discussions with banks over a loan of around S$5bn, or about $3.9bn, to help finance the acquisition. Both firms are already shareholders in STT GDC after acquiring a minority stake for $1.3bn in 2025. The remaining stake is owned by ST Telemedia, which is backed by Temasek and also controls half of Singtel.

STT GDC operates more than 100 data centres across 20 markets, including India, Japan, South Korea, Malaysia, and several European countries. The company provides co-location, connectivity, and related infrastructure services and has benefited from surging demand driven by cloud computing and artificial intelligence workloads.

The deal would rank among the largest digital infrastructure transactions in Asia in recent years and underscores private equity’s continued appetite for data centres, despite rising concerns over capital intensity and power availability linked to AI expansion.

Representatives for GIC and Mubadala declined to comment. KKR and ST Telemedia did not respond to requests for comment. Singtel has said it is in advanced discussions regarding STT GDC but noted there is no certainty of a definitive agreement.

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