Keppel has acquired Keppel DC REIT for an undisclosed amount, consolidating the specialized data centre real estate investment trust within its corporate structure. Keppel DC REIT, known as the first data centre real estate investment trust listed in Asia, maintains a diversified portfolio of income-producing properties primarily designated for data centre operations, alongside real estate and assets that underpin the digital economy.
Since its listing in December 2014, Keppel DC REIT has achieved steady growth by pursuing a focused and disciplined investment strategy, aiming for distribution per Unit accretive acquisitions in key data centre hubs globally. Its portfolio encompasses data centres strategically located across Asia Pacific and Europe, where demand remains robust. This demand is significantly propelled by accelerating cloud adoption, the proliferation of smart technologies, advancements in big-data analytics, and the rollout of 5G networks.
This acquisition represents a strategic move for Keppel, enabling a more integrated approach to leveraging the strengths of the broader Keppel Group. Keppel DC REIT has historically drawn on the Keppel Group’s competencies in project development and facilities management. Bringing Keppel DC REIT fully into Keppel’s fold is expected to streamline investment, asset, and capital management strategies, allowing for enhanced operational efficiencies and a unified vision for capturing opportunities within the digital infrastructure landscape.
The corporate acquisition underscores Keppel's commitment to reinforcing its presence and capabilities within the digital economy. The combined entity is anticipated to be strongly positioned to capitalise on the sustained growth in the data centre industry, fostering greater value creation and delivering sustainable returns by investing in quality assets that support and drive the growing global digital economy.