KKR–Singtel consortium near $10bn deal for STT GDC

Posted by Harry Baldock, The move seeks to capitalise on Southeast Asia’s booming date centre market

This week, media reports suggest that a consortium led by KKR and Singtel is closing in on a deal to acquire ST Telemedia Global Data Centres (STT GDC).

Negotiations, which are already at an “advanced stage”, would value the data centre business at around $10.22 billion.

“Singtel, as part of a consortium, continues to have discussions in relation to STT GDC. While these discussions are at an advanced stage, there is no certainty that such discussions will lead to any definitive or binding agreement,” said Singtel in a statement on Sunday.

STT GDC owns and operates around 100 data centres in over 20 markets, including Singapore, Malaysia, India, Germany, Italy, and the UK, according to the company website

Rumours that KKR and Singtel were in discussions to acquire STT GDC were first reported in July last year.

Both companies already hold stakes in the business, having jointly invested $1.3 billion in 2024, with KKR owning 14.1% and Singtel 4.2%. The remaining majority stake in STT GDC is held by ST Telemedia, itself owned by Singapore’s state-owned holding company Temasek.

For Singtel, the deal would represent the operator’s latest step in its drive to become a regional AI data centre powerhouse.

The company’s Digital InfraCo unit was rebranded as Nxera in 2024, with the company aiming to expand its data centre capacity in Southeast Asia to 200MW by the end of 2027 in partnership with Nvidia.

By combining Nxera’s existing and planned data centre assets in Singapore, Malaysia, Thailand, and Indonesia with those of STT GDC, Singtel would immediately become one of the region’s largest digital infrastructure players.

KKR, on the other hand, already owns roughly 155 facilities with a pipeline of 12-gigawatts of capacity. The company has been on a spending spree in recent years to grow this capacity even further, most recently including a $1.5 billion investment in Global Technical Realty, a company specialising in building bespoke facilities for hyperscalers like Amazon, Microsoft, and Google.How is the data centre landscape evolving in 2026? Join the industry in discussion at Total Telecom’s Hyperscale Live event! KKR–Singtel consortium near $10bn deal for STT GDC - Total Telecom

Read More........ → February 03, 2026

Domestic travel demand drives structural growth in India's hospitality market

IANS Photo

New Delhi, (IANS): The Indian hospitality market is exhibiting higher structural growth driven primarily by domestic travel demand, which makes the sector less exposed to global shocks than in the pre-Covid-19 period, a report said on Wednesday.

The report from ICRA said industry revenues are expected to grow in FY26 despite a high FY25 base, supported by leisure travel, meetings, incentives, conferences and events, weddings, and business travel.

Pan‑India premium hotel occupancy rate is anticipated to hold at 72-74 per cent in FY26, with average room rates for premium hotels projected to rise to Rs 8,200-8,500 in FY26.

This follows room rates of Rs 8,000-8,200 in FY25, the report said.

Despite subdued foreign tourist arrivals, the overall demand scenario remains unaffected, with demand drivers having broadened significantly, supporting the sector’s next phase of expansion.

The ratings agency forecasted the upcoming Union Budget to continue its focus on measures supporting tourism and infrastructure investments, ease of doing business, and enhanced connectivity and accessibility.

With supply growth continuing to trail demand, policy frameworks enabling favourable financing terms are expected to support inventory addition and sustain the next phase of hotel expansion in India.

Supply growth continues to trail demand expansion, boosting pricing power and pushing revenue per available room to record highs, the report said. This persistent demand-supply imbalance has strengthened sector profitability and supports calibrated capacity addition across markets.

“The market can support multiple formats and price points, pushing hotel companies to diversify beyond the traditional upscale business hotel,” said Sruthi Thomas, Vice President & Sector Head, Corporate Ratings, ICRA Limited.

“There is an increasing preference towards asset‑light operating models, including management contracts and franchise models, which generate fee‑based, high‑margin income, require minimal capital, and improve return on capital employed and free cash flows,” she said.

The ratings agency predicted sustained demand and pricing power to support revenue growth for the premium hotel segment in H2 FY2026 and FY2027.The room occupancy and average room rates are estimated at 69-71 per cent and Rs. 8,100-8,200, respectively, in nine months of FY26, the report said. Domestic travel demand drives structural growth in India's hospitality market | MorungExpress | morungexpress.com

Read More........ → February 02, 2026