PAG will create a new digital infrastructure company after the Asia-focused private equity firm invested in $2 billion of assets in the space, betting on the rising demand for data storage from the region’s fast-growing technology industry.
The business will focus on the acquisition of data centers and fiber networks in Japan, Australia and other Asian markets, Kris Kumar, the operation’s newly appointed chairman, said in an interview. Hong Kong-based PAG is targeting an enterprise value for the entity of $10 billion in five to seven years through deals and organic growth, he said.
Global investors have been pouring money into Asia’s digital infrastructure, betting that the region’s tech boom will fuel demand. Underpinned by a move to 5G and mobile internet, companies and governments are boosting their cloud computing capacity. The rising competition between companies and U.S.-China geopolitical tensions have also boosted demand for data storage run by independent third parties.
Source: Bloomberg
By Lulu Yilun Chen
Can't stop reading? This and all news articles are property of their creators, many are not owned or provided by Private Equity Insider. As an event organizer and community platform, we curate content from reliable sources for your suggested reading, and advise you to read the full articles from the referenced authors and sources.