Investment giant KKR and Singaporean telco Singtel are reportedly looking to acquire ST Telemedia Global Data Centres (STT GDC).

Citing people with direct knowledge of the plans, Reuters reports the two companies are “in advanced talks” to buy more than 80 percent of STT GDC – which would give them full ownership – for more than S$5 billion ($3.9 billion)

KKR currently owns about 14 percent of the firm while, Singtel owns more than four percent. Temasek-owned ST Telemedia owns the majority of STT GDC.

The companies declined to comment to Reuters.

News that KKR was interested in acquiring more of STT GDC surfaced over the summer.

KKR and Singtel invested a combined S$1.75bn (US$1.3bn) in STT GDC last year.

Headquartered in Singapore, STT GDC is a data center provider with more than 95 data centers across 11 geographies and points of presence in over 20 major business markets. The company currently has a total combined capacity of 1.7GW of IT load.

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.

Like STT, Singtel is majority owned by Temasek Holdings, the investment arm of the Singapore government.

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.

STT also has a stake in Chinese data center firm GDS.