Athira Sethu
Kochi, 30 June 2025
Japanese telco NTT plans to raise around $864 million by listing a data centre business on the Singapore Exchange. This will be through a Real Estate Investment Trust (REIT) named NTT DC REIT. The REIT holds six data centres in the United States, Austria, and Singapore, reported Reuters.
NTT has begun the bookbuilding process, meaning they are speaking with investors to determine the price and demand for the stock. The minimum amount they are trying to raise is between $772 million and $812 million, and an additional $51.5 million may come in if demand is strong enough, through an overallotment option.
If this alternative is utilized to the maximum, NTT will retain a 20% stake in the REIT. The stocks are likely to provide investors with a return of between 7% and 7.8% annually. If everything falls in place, the firm will be listed on the Singapore Exchange on July 14.
In case it succeeds, the REIT may be worth as much as $1.08 billion on the stock exchange. Among the notable early investors is GIC, Singapore’s state wealth fund, investing $101 million in this IPO. GIC specializes in supporting good and solid companies.
An increasing number of companies are developing interest in listing on Singapore Exchange. This follows Singapore launching new measures to make its stock market better, including a 20% tax rebate on new listings. The total money raised from IPOs on the Singapore Exchange in the first half of this year grew over five times compared to last year, reaching $331.6 million.
The last big IPO in Singapore was Digital Core REIT, which raised $977 million in 2021. Now, NTT DC REIT could be the next big thing.
