Singapore data center operator STT GDC seeks $2.4 billion loan
STT GDC is in talks with banks to secure a $2.4 billion syndicated loan to support operations following its recent acquisition.
Singapore-based data center operator STT GDC is currently negotiating a syndicated loan worth S$3.1 billion (US$2.4 billion). The financing is being arranged by banks including Standard Chartered and DBS. The proposed credit facility has a term of three years, with an option to extend the timeline by two additional years.
This capital will be used to finance assets following the company’s acquisition in September by a consortium led by investment firm KKR and telecommunications provider Singtel. The move reflects the high demand for financing within the data center sector as firms scale up infrastructure to support AI computing requirements.
However, market analysts have observed that bank appetite for lending toward AI-linked infrastructure in Asia is beginning to reach capacity constraints. Furthermore, developers face land and power limitations in Singapore, which have led to increased competition for capacity and driven regional expansion into markets like Malaysia.