The telco and KKR will acquire the remaining 82% stake that they do not own in STT GDC
[SINGAPORE] Shares of Singtel fell as much as 3.9 per cent after surging for two days, following the confirmation of its purchase of data centre operator ST Telemedia Global Data Centres (STT GDC) as part of a KKR-led consortium.
The counter dropped as low as S$4.72 as at 1.57 pm on Thursday (Feb 5), down S$0.19 from its previous closing price of S$4.91.
Singtel shares had climbed 1 per cent on Wednesday to close S$0.05 higher after the deal was announced, having run up 4.7 per cent the day before in anticipation of the transaction.
The telco and private equity player KKR will acquire the remaining 82 per cent stake that they do not own from STT GDC’s parent company, ST Telemedia, for S$6.6 billion.
Upon completion of the deal in the second half of 2026, Singtel and KKR will own stakes of 25 and 75 per cent, respectively, in STT GDC.
The fall in Singtel shares also reversed a rising momentum for the Straits Times Index (STI), which has been climbing towards the 5,000-point mark this year.
The STI climbed 0.4 per cent on Wednesday to an all-time closing high of 4,965.5 points. However, it fell about 0.2 per cent to 4,954.52 points as at 1.57 pm on Thursday.
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