In what looks like a strategic investment, ST Telemedia, a unit of Singapore state investment firm Temasek Holdings Pte, is set to acquire a controlling stake in US-based cloud service provider 2nd Watch, according to an announcement.
The transaction is currently pending regulatory approvals.
Headquartered in Seattle, 2nd Watch offers managed cloud services and provides strategy consulting to some of the world’s leading brands, besides managing their IT infrastructure that resides in a hybrid cloud environment.
The company’s existing shareholders such as Madrona Venture Group, Columbia Capital and Delta-v Capital, among others, will continue to retain a significant stake in it.
Over the past few years, ST Telemedia has made a slew of investments in data centres and AI-driven businesses focused on cybersecurity, big data, IT operations, customer digital experiences and managed cloud services.
The investment will help 2nd Watch strengthen its Singapore unit’s managed cloud services capabilities and scale up its operations in the global market.
“We have been solidifying our capabilities across the cloud space …..,” said Stephen Miller, president and group CEO at ST Telemedia, in a statement. “Combining our infrastructure technology portfolio with our position in data centres, ST Telemedia has a unique presence in the global cloud IT ecosystem to ignite adjacent growth across our portfolio,” he added.
In March, ST Telemedia set up a startup to help Asian companies adopt artificial intelligence and cloud technologies, much in line with the city-state’s ambitions to transform the economy through technology. The startup, called Leap, has operations in Malaysia and Indonesia, besides Singapore.
So far, ST Telemedia, through wholly-owned ST Telemedia Global Data Centres, has built a global data centre platform comprising over 90 facilities in over 16 business markets.
Earlier, it acquired a majority stake in Singapore-based Cloud Comrade for an undisclosed sum. Cloud Comrade also has offices in Indonesia and Malaysia.