STT GDC Negotiates S$3.1 Billion Loan for Asset Financing

STT GDC is negotiating a S$3.1 billion syndicated loan, approximately US$2.4 billion, to finance its assets. The proposed three-year borrowing includes an option to extend for up to two years and carries an interest margin of 165 basis points over the Singapore Overnight Rate Average.

Standard Chartered, United Overseas Bank, Oversea-Chinese Banking Corp, and DBS Bank are serving as global coordinators, mandated lead arrangers, and bookrunners for the transaction. This financing effort follows the September acquisition of the data center operator by a consortium led by KKR & Co and Singapore Telecommunications for S$6.6 billion.

The loan arrives amid a global surge in AI-driven infrastructure debt, with more than US$650 billion raised since the start of 2025. This trend has prompted investor concerns regarding company valuations and bond yields.