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Bain Capital Plans $4 Billion+ Sale of China Data Centre Arm WinTriX

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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:

  • WinTriX’s China unit is projected to generate close to 4 billion yuan ($554 million) in EBITDA in 2025.

  • The sale process is in early stages, with advisors having held preliminary talks with potential buyers.

  • 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.

Equinix Malaysia Explores Alternative Energy Ahead of July Tariff Hike Amid Data Center Expansion

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Equinix Malaysia, the local arm of global data center operator Equinix, is evaluating alternative energy providers to mitigate the impact of a 14.2% electricity tariff increase set to take effect in July, the company said on Wednesday. The tariff hike is expected to significantly raise operational costs, especially for energy-intensive data center operations.

Cheam Tat Inn, managing director of Equinix Malaysia, stated during a media walkabout at the Cyberjaya data center—now completing its second phase—that the company is actively engaging with renewable energy providers, although specific sources and timelines have not been disclosed.

Equinix currently operates two facilities in Malaysia:

  • Cyberjaya with a capacity of 4.8 megawatts (MW)

  • Johor with 2.4 MW, which is fully subscribed following its launch in May 2023.

Cheam added that customer occupancy at the Cyberjaya site is rising rapidly, underscoring strong regional demand for digital infrastructure.

Malaysia is in the midst of a data center boom, with forecasts projecting a fourfold increase in facilities over the next decade from the current 18, collectively demanding over 800MW of electricity. The surge is largely driven by the growing demand for AI and cloud services, with tech giants such as Microsoft, Nvidia, Google, ByteDance, and Oracle investing billions in the country.

Equinix has also been aggressively expanding across Southeast Asia, acquiring three data centers in the Philippines last year and maintaining operations in Indonesia, Malaysia, and Singapore as it positions itself to tap into the region’s digital growth trajectory.

ByteDance Confirms Ongoing US Talks as TikTok Gets 75-Day Lifeline From Trump

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ByteDance has officially confirmed that it is in active discussions with the U.S. government regarding a deal that would allow TikTok to continue operating in the United States. This announcement came shortly after former President Donald Trump granted the Chinese tech giant an additional 75 days to divest its U.S. TikTok operations. Without a successful deal, the popular video-sharing platform faces the threat of being banned in one of its largest markets.

In its statement, ByteDance acknowledged that while progress had been made, several key issues remain unresolved. The company emphasized that any final agreement would need to align not only with U.S. regulatory requirements but also comply with Chinese laws governing foreign transactions and technology transfers. The extended timeline now gives ByteDance until mid-November to reach a resolution that satisfies all parties involved.

President Trump, in a post on his Truth Social platform, framed the extension as a necessary step to secure TikTok’s future in the U.S. market. “The Deal requires more work to ensure all necessary approvals are signed,” he stated, highlighting the complexity of the negotiations. The executive order marks the second reprieve issued by Trump in an ongoing saga that began with national security concerns over data privacy and Chinese government influence. TikTok’s U.S. operations have been valued between $20 billion and $150 billion, making the stakes incredibly high for ByteDance.

To facilitate a successful transaction, Trump has appointed several high-ranking officials, including Vice President JD Vance and National Security Advisor Mike Waltz, to oversee and vet prospective buyers. The involvement of these key figures underscores the political and economic importance of the deal. Although this extension pushes the boundaries of the law signed by President Biden, which allows only a single 90-day extension, the move suggests that Washington remains committed to keeping TikTok alive under American ownership—provided the right conditions are met.