TLDR: Alternative investment firm Stonepeak has committed a $1.3 billion preferred equity investment to Princeton Digital Group (PDG), a leading data center operator in Asia Pacific. This significant capital injection, combined with recent debt financing, brings PDG’s total capital raised in 2025 to $2.5 billion. The funding is earmarked to fuel PDG’s aggressive expansion across the Asia-Pacific region, including new greenfield developments and strategic mergers and acquisitions, driven by the escalating demand for AI and cloud infrastructure.
Singapore-headquartered Princeton Digital Group (PDG), a prominent data center operator across the Asia-Pacific region, has secured a substantial $1.3 billion preferred equity investment from Stonepeak, a global alternative investment firm specializing in infrastructure and real assets. This strategic investment, announced on July 17, 2025, significantly bolsters PDG’s financial capacity, bringing its total capital raised in 2025 to an impressive $2.5 billion, which includes a previously secured $1.2 billion in debt financing.
The fresh capital is set to accelerate PDG’s ambitious expansion plans across both established and emerging markets within the Asia-Pacific. The company intends to deploy these funds for greenfield data center developments and strategic mergers and acquisitions, aiming to capitalize on the burgeoning demand for digital infrastructure.
PDG currently boasts a robust portfolio of over 1.1 gigawatts (GW) of data center capacity spread across six key countries in the region, including China, India, Indonesia, Japan, Malaysia, and Singapore. The company was co-founded in 2017 by Rangu Salgame, Chairman, CEO, and Co-founder, and Varoon Raghavan, Chief Operating Officer, in partnership with U.S. private equity firm Warburg Pincus, which remains PDG’s largest shareholder.
Industry leaders emphasize the critical role of this investment in meeting the region’s digital needs. Rangu Salgame stated, ‘This milestone investment from Stonepeak is a strong endorsement of PDG’s strategy, execution, and sustained value creation. Stonepeak shares our deep conviction in the unprecedented growth of AI and cloud across Asia Pacific. With this partnership, PDG is uniquely positioned to scale with speed, continue being the trusted provider to the world’s most demanding hyperscalers, and further consolidate its position as a market leader in the region.’
Andrew Thomas, Senior Managing Director at Stonepeak, echoed this sentiment, remarking, ‘PDG has established itself as one of the clear leaders among digital infrastructure platforms in the Asia Pacific region. The company’s track record of execution, top-tier management team, and significant power bank in critical hub markets in APAC positions it well to serve the continued demand from hyperscalers and AI-driven platforms in the region.’ Stonepeak, which manages over $73 billion in assets, views this investment as a strategic fit for its Asia infrastructure strategy.
Ellen Ng, Co-head of Asia Real Estate at Warburg Pincus, welcomed Stonepeak as a partner, stating, ‘As a founding investor of PDG, we’ve always believed in the founders’ vision and exceptional execution capabilities and supported the company’s evolution into Asia’s preeminent data center platform. This latest investment by Stonepeak is a strong validation of PDG’s market leadership and long-term strategy. As PDG’s largest shareholder, we are excited to welcome a like-minded partner to help propel the company into its next phase of growth, supporting the surging demand for AI and cloud infrastructure across the region.’
Also Read:
- Global IT Spending to Reach $5.43 Trillion in 2025, Driven by AI Amidst Sectoral Slowdown
- Southeast Asia Poised to Benefit from UK’s Advancing AI Infrastructure
The investment comes at a time when the Asia-Pacific data center market is experiencing explosive growth. According to a recent report by real estate consultant Cushman & Wakefield, data center capacity across the Asia Pacific is projected to double to 24 gigawatts by 2030, surpassing the projected 18.3 gigawatt capacity in the U.S. This robust growth underscores the strategic importance of investments like Stonepeak’s in building the foundational infrastructure for the digital economy.
