AirTrunk, the Australian data centre operator acquired by Blackstone Inc (NYSE:BX) in a record 2024 deal, is weighing options that include a potential real estate investment trust (REIT) listing in Singapore, according to the Australian Financial Review (AFR).
The company has held initial talks with prospective advisers about a possible REIT IPO that could raise more than US$1 billion (A$1.5 billion), the people said. If it proceeds, a listing could occur as early as 2026.
Blackstone and Canada Pension Plan Investment Board bought AirTrunk for $24 billion, surpassing Blackstone’s prior Asia-Pacific record transaction — the $8.9 billion takeover of Crown Resorts in 2022. AirTrunk is the region’s largest data centre operator, with operations across Australia, Hong Kong, Japan, Malaysia and Singapore.
The discussions come as investors and companies increase spending on data centres to support anticipated demand linked to artificial intelligence. Large-scale investment is expected in data centre leases as businesses seek additional computing capacity for building AI models.
The IPO deliberations are ongoing and the size and structure of any deal could change. AirTrunk could also opt not to pursue a listing.
Representatives for Blackstone and CPPIB declined to comment.
Singapore is a key REIT market, with the sector accounting for about 10% of the local stock exchange’s market capitalisation. The city-state hosted its largest listing in eight years this year — the US$773 million IPO of a data centre REIT backed by Japan’s NTT.