morningstar.com·May 25, 2026
GDS Holdings is expected to continue expanding its data center network in major Chinese cities to meet rising demand from cloud service providers while also pursuing international growth in Southeast Asia, despite reducing its ownership stake in its DayOne business ahead of a potential IPO. The company recently established a C-REIT to leverage its mature data centers for capital recycling.
GDS Holdings is positioning itself for growth by expanding its network of data centers in key Tier 1 Chinese cities and exploring international expansion in Southeast Asia. The potential IPO of its international business within the next 18 months and the use of C-REITs for capital recycling could present significant investment opportunities.