Abu Dhabi's MGX Explores Multi-Billion-Dollar Acquisition of DayOne Data Centers

Abu Dhabi-backed artificial intelligence investor MGX is exploring a multi-billion-dollar acquisition of Singapore-based data center operator DayOne, according to three sources familiar with the matter. While the deal is not final, MGX is working with an investment bank on preparations, and the move would mark MGX's first acquisition in Asia — a major step in its global AI infrastructure push . Here's a full breakdown of the deal, DayOne's background, and what it means for the competition for AI compute capacity.

Deal Value vs. DayOne's IPO Plans

MGX's potential acquisition is described as "multi-billion," though no specific price has been reported . The figure becomes clearer when compared to DayOne's IPO trajectory:

• DayOne's IPO target: Just weeks before the MGX news broke, sources said DayOne was planning a US initial public offering targeting a valuation of up to $20 billion, aiming to raise around $5 billion in the offering. In May 2026, reports also suggested a potential dual listing in Singapore and the US .
• Recent valuation: DayOne was valued at around $10 billion when it closed its initial $2 billion Series C in January 2026, and the $20 billion IPO target represented a 2x uplift from that figure .
• What an acquisition would mean: A take-private by MGX would directly replace those IPO plans, giving Abu Dhabi control of a platform that had been heading toward a public listing as soon as later in 2026 .

DayOne's Background and Investor Base

DayOne was previously known as GDS International, the overseas spin-off of China's GDS Holdings, one of the largest data center firms in China . It was renamed DayOne in 2025 and is headquartered in Singapore .

Key personnel: Chairman Lim Ah Doo brings over 40 years of experience in telecommunications, technology, data centers, infrastructure, and banking .

Major investors: DayOne's largest shareholders are Coatue Management and Hillhouse Investment, with the Indonesia Investment Authority (INA) and Achi Capital Partners as notable new investors in its latest round. Other reported backers include SoftBank Vision Fund, Citadel, and Temasek-backed 65 Equity Partners .

Series C Raise: $4.5 Billion

DayOne announced the final closing of its Series C at $4.5 billion on June 5, 2026 — more than doubling the initial $2 billion close in January of that year. It was led by Coatue and Hillhouse and is described as one of the largest private capital raises in the data center sector . The round priced at a 100% premium over the company's previous equity funding .

Data Center Locations: Asia and Europe

DayOne operates hyperscale data centers across Asia (including Singapore, Indonesia, Thailand, Japan, and Hong Kong) and Europe (including a site in Lahti, Finland). It has secured over 1.5 gigawatts in capacity bookings . The company's expansion plans focus on Southeast Asia and Europe, regions where AI-driven compute demand is surging .

What This Means for MGX and the AI Infrastructure Race

• MGX's ambitions: MGX is Abu Dhabi's dedicated AI investment vehicle . Acquiring DayOne would give it a ready-built hyperscale platform across Asia and Europe, directly competing with other state-backed and private AI infrastructure giants. This would follow MGX's involvement in the record $40 billion acquisition of Aligned Data Centers in the Americas in October 2025 .
• Broader competition: The potential deal signals an escalation in the race for AI data center capacity, particularly in Asia. It pits Gulf sovereign AI capital against a China-linked operator (DayOne's GDS roots) and US tech giants such as Microsoft (which participated in the Aligned deal). All are vying for the same scarce power, land, and chips needed for AI compute . If completed, it would be one of the largest AI infrastructure take-private moves in Asia.