Singapore-based data center company DayOne is negotiating to raise nearly 2.6 billion yuan | Lianhe Zaobao
Singapore data center operator DayOne is in talks for a Series C funding round exceeding $2 billion to support international market expansion, with a potential valuation of $10 billion. Meanwhile, OpenAI is collaborating with Australia's NextDC to build a data center worth AUD 7 billion in Sydney, driving expansion in the Asia-Pacific region, and NextDC's stock price rose by 11%
According to informed sources, Singapore-based data center operator DayOne is in talks for a Series C funding round exceeding $2 billion (SGD 2.59 billion) to support its expansion into international markets.
Bloomberg reported on Friday (December 5) citing sources that DayOne Data Centers, based in Singapore, is deep in negotiations for this funding round, which could result in a valuation of approximately $10 billion. Due to the confidential nature of the information, the sources wished to remain anonymous.
Meanwhile, Bloomberg also reported on Friday that OpenAI is collaborating with Australian data center operator NextDC Ltd. to build a data center in Sydney worth AUD 7 billion (SGD 5.4 billion), accelerating its expansion in the Asia-Pacific region. NextDC's stock price surged by as much as 11% in Sydney.
This comes as OpenAI establishes its first office in Australia, and the country is also vigorously promoting its own artificial intelligence development. The new data center is part of a broader artificial intelligence infrastructure collaboration plan between OpenAI and NextDC.
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In its international market expansion, DayOne appears to have no operations in Australia. Before rebranding in early 2025, DayOne was known as GDS International or GDSI Its website shows that the company has data center hubs in Singapore, Malaysia, and Indonesia, and offices in Thailand, Hong Kong, Japan, and Finland.
According to sources familiar with the matter, DayOne's new round of fundraising will be led by existing investors, with some new supporters also joining. Negotiations are in the later stages, with an agreement expected to be signed by the end of the year, but no final decision has been made yet.
Bloomberg reported in September that DayOne is considering raising at least $1 billion through a new round of financing. Currently, DayOne has not responded to requests for comment.
It is noted that after DayOne completes two rounds of financing, the stake held by GDS Holdings Ltd. has decreased to 35.6%. Other investors in these two rounds of financing include Boyu Capital, Coatue Management, Hillhouse Investment, SoftBank Vision Fund, and Citadel's president Ken Griffin
