Keppel has closed its latest data center investment fund.
The company this week announced its third data centre fund, KDCF III, has achieved its first close, raising approximately S$786 million (US$580m) in initial capital commitments from various global institutional investors.
The company said KDCF III will focus on securing pre-commitment or high leasing certainty from hyperscale customers to mitigate risk to investors.
The closing was part of a wider funding announcement, seeing the company close to S$2 billion (US$1.52bn) of capital commitments for KDCF III, the Keppel Education Asset Fund II (KEAF II), and its Sustainable Urban Renewal (SUR) strategy.
Christina Tan, CEO of fund management and chief investment officer, Keppel, said: “The securing of about S$2 billion in capital across Keppel’s flagship funds reflects the resilient demand for high-quality alternative real assets anchored to macrotrends such as climate change and energy transition, urbanisation as well as rapid digitalisation and the AI wave.”
Launched in 2020, Keppel Data Centre Fund II is a private fund focused on investments in data centers in Asia Pacific and Europe. Managed by Keppel Fund Management (formerly known as Alpha Investment Partners) under Keppel Capital, its investments include a data center that the company developed in Shanghai, China.
Keppel owns and operates a number of data centers across Europe and Asia via its Keppel DC REIT and Keppel Data Centres units. Its data center portfolio currently totals 35 facilities across Europe and Asia Pacific, with 650MW of power capacity.
The company has around 200MW of capacity in Singapore, 350MW across the rest of APAC (Australia, Japan, China, and Malaysia), and 100MW in Europe (UK, Germany, Ireland, Italy, and the Netherlands). It is planning to expand its footprint further.
