Investment giant KKR is investing in Compass Datacenters' stabilized facilities.

First reported by Bloomberg, Brookfield-owned Compass Datacenters signed a definitive agreement for KKR to invest in a portion of its operating data centers and future assets.

Compass confirmed the deal to the publication, though no official announcement has been made. The agreement is reportedly set to raise several billion dollars, according to Bloomberg.

Details on which assets are involved and the size of KRR's stake in each weren't shared.

People with knowledge of the matter said Compass had been holding talks about selling a stake in some of its mature portfolio to raise funds for the construction of new data centers.

Compass has 16 data center sites it is developing or operating across the US, Europe, and Israel.

Compass was acquired by Brookfield and Ontario Teachers Pension Plan from RedBird Capital Partners and the Azrieli Group in June 2023 for $5.5bn. The firm sold its prefab data center unit earlier this year.

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 and is reportedly in talks to secure a larger stake. 2023 also saw KKR acquire liquid cooling company CoolIT alongside Mubadala.