Globe Telecom, a wireless carrier and fixed broadband provider in the Philippines, alongside ST Telemedia Global Data Centres (STT GDC), a carrier-neutral data center operator headquartered in Singapore, and Ayala Corporation, a real estate, banking, telecommunications, and power conglomerate in the Philippines, today announced that they have formed a $350m+ joint venture, known as KarmanEdge, to expand their current data center footprint in the Philippines.

Initially, the transaction involves a carve-out of Globe Telecom’s data center business, which is held by its 100%-owned subsidiary, KarmanEdge, Inc. Subsequently, STT GDC and Ayala will purchase new shares in KarmanEdge, which will result in the following shareholdings in the company:

  • Globe Telecom: 50% ownership, remaining as the largest shareholder
  • STT GDC: 40% ownership
  • Ayala Corporation: 10% ownership

Ultimately, KarmanEdge will have a post-money valuation of $350m+, implying that STT GDC and Ayala are purchasing their combined 50% stake for ~$175m. Of this total, Globe Telecom will receive proceeds of $100m, with the remaining ~$75m of capital to be used as funding for KarmanEdge’s future expansion.

Finally, the transaction is expected to be completed in Q1 2022.

KarmanEdge – Globe Telecom, STT GDC, Ayala

STT GDC and Ayala’s capital infusion will enable Globe’s KarmanEdge to expand its data center business by up to 100 megawatts of power capacity in the medium- to long-term. For each of the joint venture partners, investing in the growth of KarmanEdge has its own merits:

Globe Telecom

KarmanEdge will accelerate Globe’s efforts to scale-up its capacity and capabilities in the data center sector. At the same time, Globe can address the significant and growing demand for data center services in the “underserved” market of the Philippines. Specifically, KarmanEdge will serve demand from local enterprises and global hyperscalers, including the world’s largest content providers (e.g., Netflix).


STT GDC will bring its experience in developing, owning, and operating data centers, primarily in Asia-Pacific, to the KarmanEdge joint venture. Indeed, STT GDC’s data center portfolio consists of 140+ data centers with 1.6 gigawatts of IT load capacity, across Singapore, India, China, Thailand, South Korea, Indonesia, Japan, and the UK.

For STT GDC, the joint venture represents an opportunity to expand its data center business into the Philippines, strengthening its presence in Asia-Pacific. Additionally, KarmanEdge follows a similar partnership model, which STT GDC has taken in other countries where it has previously expanded. For example, STT GDC has partnered with local operators and developers in:

Ayala Corporation

Ayala Corporation, a major shareholder in Globe Telecom, will deliver its business reach, relationships in the Philippines and in the region to the KarmanEdge joint venture. Ultimately, Ayala seeks to play a major role in the development of the data center industry in the Philippines.

Globe Telecom – Data Centers in the Philippines

Since 2001, Globe Telecom, through its wholly-owned subsidiary, Innove Communications, Inc., has been operating data centers in the Philippines. To-date, Globe has expanded its data center portfolio nationwide to serve both its internal needs, and those of local enterprises and global hyperscalers.

Mary Zhang covers Data Centers for Dgtl Infra, including Equinix (NASDAQ: EQIX), Digital Realty (NYSE: DLR), CyrusOne, CoreSite Realty, QTS Realty, Switch Inc, Iron Mountain (NYSE: IRM), Cyxtera (NASDAQ: CYXT), and many more. Within Data Centers, Mary focuses on the sub-sectors of hyperscale, enterprise / colocation, cloud service providers, and edge computing. Mary has over 5 years of experience in research and writing for Data Centers.


Please enter your comment!
Please enter your name here