GDS Continues to Build Out a Valuable Asian Data Center Portfolio

We expect GDS Holdings to continue to purchase and build data centers in and around its focus Tier 1 Chinese cities of Shanghai, Beijing, Shenzhen, Guangzhou, Hong Kong, Chengdu, and Chongqing. As its network of interconnected data centers grows it can more easily cater to the demand from its key cloud service provider customers allowing them to expand in a flexible way in their key markets. This also enables key enterprise customers to deploy their hybrid clouds in close proximity to the networked nodes of leading public clouds. The company is also excited about its international expansion into Southeast Asia. The company has announced an equity funding deal for its international business, raising USD 587 million for 43.9% of the business from private equity investors. The international business will then have sufficient equity to capitalize the 330-megawatt portfolio as at end-2023, with a total development cost of around USD 2.5 billion.