US investment firm KKR & Co. is in talks to acquire ST Telemedia Global Data Centres (STT GDC).

The deal, reported by Bloomberg, could value the Asian data center company at more than $5 billion.

The sale could happen within weeks, but it is not guaranteed.

The data center firm is part of ST Telemedia, itself owned by Singaporean wealth fund Temasek Holdings.

KKR already owns a 14.1 percent stake in STT GDC, after it partnered with Singtel to invest S$1.75bn (US$1.4bn) in the company last year.

STT GDC operates, or is building, data centers in India, Indonesia, Japan, the Philippines, Singapore, South Korea, Thailand, the United Kingdom, Germany, Malaysia, Vietnam, and Italy. Its portfolio totals more than 95 data centers and 1.7GW of capacity across 11 geographies and points of presence across more than 20 markets. The company owns stakes in Chinese operator GDS and UK-based firm Virtus.

KKR owns data center operator CyrusOne alongside BlackRock-owned GIP, and is backing European operator GTR. It acquired a 20 percent stake in Singtel’s data center business for $800 million in 2023. That year, it acquired liquid cooling company CoolIT alongside Mubadala.

In February 2024, STT GDC revealed that private equity funds were being lined up to back a $1bn funding round in advance of a potential IPO for the business in either the US or Singapore. In May 2024, it was reported that KKR and Singtel were competing with Stonepeak for the 20 percent stake in STT GDC that came with the investment.

At one point, STT was a major investor in US colo giant Equinix. ST Telemedia launched i-STT in 2000, which was later merged into Equinix in the US. ST Telemedia became the largest strategic shareholder in Equinix, though it has since divested its interest in the company.