Bain Capital is preparing to sell the China business of data centre operator WinTriX DC Group, in a deal that could value the division at over $4 billion, according to two sources with direct knowledge of the matter. The move comes amid soaring valuations in the global data centre market, fueled by surging demand for artificial intelligence infrastructure.
The potential sale would mark a major strategic reshuffle for Bain Capital, which acquired Chindata Group in 2019, later merged it with Southeast Asia’s Bridge Data Centres, and then rebranded and separated the businesses under the WinTriX name after taking Chindata private in a $3.16 billion deal in 2022.
Key Financials and Deal Context:
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WinTriX’s China unit is projected to generate close to 4 billion yuan ($554 million) in EBITDA in 2025.
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The sale process is in early stages, with advisors having held preliminary talks with potential buyers.
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Bytedance, the parent company of TikTok, was WinTriX’s largest customer in 2022, accounting for 86% of its revenue, according to Fitch Ratings.
Market Backdrop:
The sale comes as data centre valuations surge globally, bolstered by AI-driven growth. In 2023, Australia’s AirTrunk was sold to a Blackstone-led consortium at over 20 times forward earnings, illustrating investor appetite in the sector. By comparison, GDS Holdings, a major China-based rival, is currently trading at a P/E multiple of 8.48, per LSEG data.
Fitch Downgrade Adds Complexity:
Despite growth opportunities, Fitch Ratings downgraded WinTriX in February from “BBB” to “BB”, citing increased risks tied to its strategic pivot toward overseas expansion, slower demand for hyperscale centres in China, and rising local competition.
Bridge Data Centres to Remain Under Bain:
Sources said Bain will retain control of Bridge Data Centres, which operates outside China and in March secured a $2.8 billion bank loan to support expansion in markets like India and Malaysia.
Neither Bain Capital nor WinTriX responded to Reuters’ requests for comment.
As AI infrastructure continues to drive global investment in cloud and compute capabilities, the potential WinTriX China sale could be a timely cash-out for Bain Capital, while also offering a major player a foothold in China’s data infrastructure market — albeit one still closely tied to a dominant but concentrated revenue base.
