Apollo has agreed to acquire a majority stake in Stream Data Centers (SDC) from Stream Realty Partners, in a landmark transaction that positions the private equity firm to significantly scale its presence in next-generation digital infrastructure.

The deal will allow Apollo-managed funds and affiliates to deploy billions into the development of hyperscale data centre campuses across key Tier 1 and Tier 2 U.S. markets. Stream’s management team will retain a minority stake and continue to lead the business.

With over 4 gigawatts of long-term powered land under control and a robust development pipeline, Stream has delivered more than 20 hyperscale campuses to date. The company’s model is focused on long-term customer relationships and efficient, scalable builds tailored to the demands of cloud and AI providers.

“Stream Data Centers represents a landmark digital infrastructure transaction for Apollo,” said Joseph Jackson and Trevor Mills, Partners at Apollo. “We believe SDC is uniquely positioned to serve the infrastructure needs of the world’s most sophisticated technology customers.”

As part of the deal, Apollo and SRP will inject fresh capital into Stream’s existing land fund to accelerate the buildout of 650 MW of power capacity across campuses in metro Chicago, Atlanta, and Dallas. A newly formed Apollo subsidiary will take over as investment manager of the fund.

Michael Lahoud and Paul Moser, Co-Managing Partners of Stream, added, “This symbiotic relationship with Apollo offers access to the capital required to significantly scale our developments at the rate hyperscale customers demand.”

Since 2022, Apollo-managed funds have deployed approximately $38bn into next-gen infrastructure, spanning renewable energy, digital platforms, and compute capacity. The firm plans to further ramp up its investment across these areas, leveraging Stream as a core operating platform.

The transaction is expected to close later in 2025, subject to regulatory approvals.

Goldman Sachs & Co. advised Stream, with legal counsel from Akin Gump Strauss Hauer & Feld. Moelis & Company advised Apollo, with Latham & Watkins acting as legal counsel.

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