Keppel DC REIT acquires two Japan data centres for $1.5bn

Keppel Data Centre REIT has completed the acquisition of two freehold data centres in Japan for $1.5 billion, marking a significant expansion of its portfolio in the region. The purchases strengthen the REIT's presence in one of Asia's largest data centre markets amid growing demand for digital infrastructure across the region.

The two facilities represent prime assets in Japan's data centre sector, which has attracted considerable institutional investment given the country's technological advancement and strict data protection standards. The freehold nature of the acquisitions provides Keppel DC REIT with long-term asset security and stability for its investors.

To support the expansion and strengthen its balance sheet, Keppel DC REIT's manager is proceeding with a private placement scheduled for September 10, targeting the raise of at least $600 million. The capital injection is expected to enhance the REIT's financial flexibility and support future growth opportunities across its regional markets.

The moves underscore the REIT's strategic focus on high-growth data centre markets in Asia-Pacific, where digital transformation and cloud adoption continue to drive infrastructure demand. The acquisitions add to Keppel DC REIT's existing portfolio of facilities across Singapore and other key markets in the region.