Core Viewpoint - A consortium led by KKR and Singtel is acquiring the remaining 82% stake in ST Telemedia Global Data Centres (STT GDC) for S$6.6 billion ($5.1 billion), valuing the company at an enterprise value of approximately S$13.8 billion ($10.9 billion) [1][2] Group 1: Acquisition Details - The acquisition will result in KKR holding a 75% stake and Singtel owning 25% of STT GDC, following the conversion of existing redeemable preference shares [2] - The transaction follows an initial investment in 2024, where KKR and Singtel contributed S$1.75 billion through preference shares and warrants, marking Southeast Asia's largest digital infrastructure investment at that time [2] Group 2: Strategic Implications - KKR's co-head David Luboff emphasized the opportunity to support a high-quality platform and deepen the strategic partnership with Singtel, aiming to leverage KKR's global network and expertise in digital infrastructure for STT GDC's growth [3] - Singtel's CFO Arthur Lang stated that the acquisition is a significant step towards scaling their digital infrastructure growth engine as outlined in the Singtel28 growth plan, while maintaining capital allocation discipline [4] Group 3: Company Operations and Market Position - STT GDC, founded in 2014 and headquartered in Singapore, operates in 12 major markets across Asia Pacific, the UK, and Europe, with a total design capacity of 2.3GW [4] - The company provides colocation, connectivity, and support services for clients managing AI and cloud workloads that require substantial data processing resources [5] - STT GDC's president and CEO Bruno Lopez noted that the expanded investment from KKR and Singtel reflects confidence in the company's business quality and growth trajectory, aiming to enhance infrastructure for the digital economy [5] Group 4: Future Growth Potential - The consortium's combined expertise, regional networks, and financial strength position STT GDC to scale rapidly and capture significant growth in cloud and AI demand [6] - The completion of the acquisition is subject to regulatory approvals and standard closing conditions [6]

Core Viewpoint - A consortium led by KKR and Singapore Telecommunications is acquiring full control of ST Telemedia Global Data Centres for S$6.6 billion ($5.2 billion), highlighting the increasing demand for AI capacity and cloud services [1][2]. Group 1: Transaction Details - The deal represents the largest transaction in Singapore in four years and the biggest data centre deal in Southeast Asia, indicating a significant growth in computing capacity needs [2]. - The implied enterprise value of STT GDC is S$13.8 billion based on the acquisition price for the 82% stake not already owned by the consortium [1][3]. - The KKR-led consortium will acquire the remaining 82% stake from ST Telemedia, with KKR and Singtel holding 75% and 25% respectively post-transaction [4]. Group 2: Company and Market Impact - STT GDC, founded in 2014, has a design capacity of approximately 2.3 gigawatts across 12 major markets in the Asia Pacific, UK, and Europe, providing essential data centre services [3]. - The acquisition aligns with Singtel's strategy to enhance its digital infrastructure, positioning it as one of the largest data centre operators in Asia [5]. - Analysts suggest that Singtel's long-standing operational experience and infrastructure capabilities will enable it to capitalize on larger multi-market opportunities in the data centre sector [6].

A KKR and Singapore Telecommunications consortium will pay S$6.6 billion ($5.2 billion) in cash to buy the remaining 82% stake in ST Telemedia Global Data Centres (STT GDC), valuing the Singapore-base... ...

SINGAPORE--(BUSINESS WIRE)--KKR-Led Consortium with Singtel Group to Fully Acquire ST Telemedia Global Data Centres at S$13.8 Billion Enterprise Value. ...

Budget Overview - The budget is conservative with tax buoyancy for FY27 assumed at 0.8, lower than the previous year, and GST revenues projected to decrease by 3% in FY27 compared to FY26 [1][8] - The share of revenue expenditure, excluding interest, is proposed to decrease from 52.2% to 50.8% [1][8] Capital Expenditure and Fiscal Deficit - An additional capital expenditure of ₹1.26 lakh crore for FY27 has been budgeted, indicating improved quality of the fiscal deficit [2][9] Strategic Sector Incentives - The budget emphasizes policy nudges and incentives in strategic sectors with long-term economic implications, including nuclear power, data centres, global capability centres (GCCs), and maintenance, repair, and operations (MROs) [2][9] Nuclear Power Sector - The extension of zero basic customs duty on imports for new nuclear power projects until 2035 will lower capital costs for developers, reduce energy costs, and enhance energy security [4][9] Data Centres and Semiconductor Mission - Data centres are incentivized with a long-term tax holiday until 2047 for foreign companies providing cloud services, while the India Semiconductor Mission aims to boost private investment in fabrication, design, and equipment manufacturing [5][9] Manufacturing and Supply Chain Development - Changes in income-tax laws will facilitate just-in-time manufacturing and improve the economics of electronics manufacturing, alongside the development of dedicated rare earth corridors to strengthen strategic supply chains [6][9] Global Capability Centres (GCCs) - Investments in GCCs are encouraged as they drive services exports, job creation, and advanced skills development, particularly in AI and emerging technologies [7][9] IT Services Tax Certainty - Unifying all IT services under a single category with a common safe harbour margin of 15.5% will reduce ambiguity and enhance tax certainty for the sector [7][9] Support for MSMEs - The proposed ₹10,000-crore SME Growth Fund and credit guarantee schemes for invoice discounting aim to provide additional capital for India's 10 million registered MSMEs [7][9] Overall Budget Impact - The budget presents a credible roadmap for increasing competitiveness and long-term growth, although a higher divestment target could have provided more resources and fiscal flexibility [8][9]

Core Insights - The article discusses the investment considerations between Keppel DC REIT and Keppel Corporation, highlighting their distinct business models and investment focuses. Group 1: Business Overview - Keppel DC REIT is a data centre REIT with S$6.3 billion in assets under management as of December 31, 2025, and operates 25 data centres across 10 countries [3] - Keppel Corporation is a diversified conglomerate involved in asset management, infrastructure, data centres, and utilities, providing a broader range of services compared to the REIT [5][6] Group 2: Income vs. Growth Potential - Keppel DC REIT offers a consistent distribution yield averaging 4.6% over the past decade, appealing to income-focused investors [7] - Keppel Corporation has a lower dividend yield of 3.1% but presents higher capital growth potential due to its transition to an asset-light business model and involvement in growth sectors like renewable energy [9][12] Group 3: Financial and Valuation Comparison - Keppel DC REIT's share price is S$2.23 with a market cap of S$5.44 billion, and it has a last 12-month yield of 4.7% [11] - Keppel Corporation's share price is S$10.95, with a market cap nearing S$20 billion, and it has shown a steady increase in revenue and profit [12] Group 4: Investment Suitability - For investors seeking consistent income and lower volatility, Keppel DC REIT is recommended [15] - For those looking for business diversity and growth potential, Keppel Corporation is suggested as a better fit [15][16]

Industry Overview - India's data centre industry is entering a new phase with increasing interest in public market listings and joint ventures as funding options due to surging demand for AI-ready infrastructure [1] - The industry has experienced a growth rate of 25.47% annually from 2021 to 2025, making it one of the fastest-growing sectors in the Asia-Pacific region [8][9] - India's current data centre capacity is significantly lower than global leaders, with the US having nearly 18 times and China around 3.5 times greater capacity [9] Company Developments - Sify Infinit Spaces Ltd has received regulatory approval for a ₹3,700 crore IPO, with ₹1,325 crore allocated for capital expenditure on data centres [2] - Yotta Infrastructure plans to pursue a domestic stock market listing before considering US capital markets, potentially listing in the next financial year [2] - Nxtra Data Ltd, a subsidiary of Bharti Airtel, is contemplating a potential IPO amid competitive pressures from Reliance Industries and Adani Enterprises, with estimated valuations around $3 billion [3][4] - CtrlS Datacenters Ltd is also looking at a public listing to meet capital expenditure needs [5] Investment and Joint Ventures - Major investments in the data centre sector include $60 billion in total announcements in 2025, with significant contributions from Reliance Industries, Adani Group, and major tech companies like Google and Microsoft [11] - Notable projects include RIL's $11 billion investment for a 1 GW data centre in Visakhapatnam and a $15 billion partnership between Google and Adani Enterprises for India's largest AI data centre campus [12][13] - The future of the sector is expected to be defined by partnerships and joint ventures, combining local infrastructure with global expertise [14][15]

Core Insights - The global digital economy is rapidly expanding, driven by artificial intelligence, cloud computing, and data-intensive services, leading to increased demand for data centres [1] - Malaysia is emerging as a leading data centre hub in Asia, expected to surpass India in capacity by 2029, despite India's advantages [1][2] Malaysia's Rise - Malaysia attracted approximately $43 billion in data-centre investments from 2021 to 2024, with an annual growth rate of over 22% in installed capacity [2] - Johor has transformed from a palm-oil plantation area to a global AI-infrastructure hotspot, benefiting from demand spillover from Singapore [2][4] - The country has streamlined power planning and approvals, reducing the time for power approvals from 3-4 years to about 12 months [4] Policy and Regulatory Framework - Malaysia's policy coordination includes predictable frameworks for incentives, permitting, and infrastructure, with a Data Centre Task Force established in 2025 to harmonize approvals [5][6] - A Sustainable Data Centre Framework is being developed to enforce energy and water efficiency standards, with a target of 31% renewable energy by 2025 [6][7] India's Position and Challenges - India has the second-largest data-centre capacity in Asia, projected to reach 4,500 MW by 2030, driven by strong demand fundamentals [8] - Despite favorable policy intent, execution remains a challenge, with long approval timelines for land and utility connections [9][11] - Power supply is a significant bottleneck, with data centres projected to consume 3% of India's power by 2030, facing hurdles in securing long-term green power [10] Competitive Landscape - India's data-centre growth is influenced by state-level initiatives, with Maharashtra and Tamil Nadu facing saturation, while Telangana and Andhra Pradesh offer competitive advantages [12] - Malaysia's success highlights the importance of prioritization, sequencing, and stability in planning and execution [13] Recommendations for India - India should implement tiered sustainability standards and ensure power certainty through early-stage grid access and renewable energy commitments [14][15] - Unified planning and site-zoning rules are necessary to streamline approvals and minimize conflicts [15] - Establishing a multi-stakeholder task force is critical for coordinating planning, grid expansion, and water management [15] Conclusion - India's opportunity in the data centre sector is significant but requires improved execution to compete effectively against Malaysia and other emerging markets [16]

Core Insights - Silver has experienced a remarkable surge, with prices increasing over 150% year-to-date, significantly outperforming equities and other asset classes [2][5] - The rise in silver prices has led to a cultural phenomenon on social media, with memes and jokes proliferating as investors react to the market rally [1][2] Price Performance - As of December 24, silver settled at $71.8775 per ounce, marking a significant year where it became the third-most valuable asset globally, surpassing major companies like Apple Inc and Alphabet [4] - International silver prices have risen 158% year-to-date, while gold has increased nearly 72% in the same timeframe [5] Market Dynamics - The surge in silver prices is attributed to strong industrial demand, particularly from sectors such as electric vehicles, solar energy, semiconductors, and data centers [6] - The rally has also been driven by a fear of missing out (FOMO) among investors, contributing to the momentum in silver's price increase [6]

Group 1: AI and Investment Trends - AI-related investment is gaining momentum across all sectors, particularly in Western Europe, which has strong R&D capabilities and engineering talent pools attracting international companies [1] - A new paradigm of strategic capitalism is emerging, where governments prioritize national security, technological capacity, and geopolitical leverage over mere efficiency [4][5] - FDI project volumes in Europe are expected to decline significantly in 2025 compared to 2024, with a subdued outlook for 2026 due to macro-level pressures such as tariffs, regional conflicts, and political instability [2] Group 2: Regional Insights on FDI - In East Africa, FDI approvals reached approximately $4.9 billion in Q3 2025, but political developments may affect momentum into 2026, particularly post-election violence in Tanzania and Uganda's upcoming elections [6][7] - The DRC-Rwanda security situation remains unstable, impacting critical mining corridors, while South Sudan's intermittent armed clashes disrupt oil production [7][8] - In Latin America, FDI inflows totaled $189 billion in 2024, a 7.1% increase from 2023, driven by megaprojects in oil, gas, and renewable energy, but current levels remain below historical peaks [25][26] Group 3: Sector-Specific Developments - Infrastructure and energy projects continue to attract foreign capital, with multilateral pledges channeling finance into power, transport, and broadband initiatives [9] - The digital and services sectors show promise, but greenfield project numbers remain small relative to the need, with private equity and strategic tech partners leading investments [11] - In the Middle East, FDI is increasingly focused on AI infrastructure, with the data center market projected to grow from $3.5 billion to approximately $9.5 billion by 2030 [17] Group 4: North American FDI Landscape - North American FDI ended 2025 cautiously, influenced by political ambiguity and policy crosswinds, with multinationals favoring M&A over new greenfield projects [20][21] - Key inflection points for 2026 include the USMCA review, World Cup infrastructure momentum, and the operationalization of industrial policy, which may shift investor focus from incentives to execution risks [20][21] - European companies are increasingly favoring US expansion due to concerns about regulatory fragmentation and high energy costs in Europe, with a potential rise in European FDI into the US in 2026 [22][24]