Investment firm Stonepeak is betting big on data centers in Singapore and South Korea.

The infrastructure and real estate-focused alternative investment firm may invest around $1bn in Singaporean data center operator Princeton Digital Group (PDG). Digital Edge, which is owned by the firm, recently closed a KRW 800bn ($575m) green loan.

For PDG, Bloomberg reports that the funds would come in the form of a structured equity deal. Details such as the size and structure of the deal are currently unclear and could be subject to change.

It is unclear what the additional funds would be used for. In May, PDG had already secured more than $1bn in financing in order to fund its expansion and development across Asia.

PDG is backed by private equity firm Warburg Pincus. Mubadala is also an investor.

Digital Edge raises $575m

Stonepeak-owned Digital Edge has also completed a $575m green loan raise. The company will use the funds to develop a 60MW data center, dubbed SEL3, in Bupyeong-gu, Incheon, South Korea. SEL3 is adjacent to SEL2, and upon completion, the campus will offer 96MW of capacity.

SEL3 is set to be operational by Q4 2027.

The company claims that the loan was “significantly oversubscribed,” with interest from Korean and international investors.

CFO Jonathan Walbridge said: “This financing demonstrates continued confidence in our platform and affirms our long-term commitment to building digital infrastructure responsibly and sustainably."

Singapore-based Digital Edge was established in early 2020. The firm has a presence in APAC, and in January of this year, it raised more than $1.6bn in capital to fund its expansion across the region.

Stonepeak also has a data center presence in North America through its investments in Montera, Cologix, and CoreSite; it has also invested in Cirion in Latin America.