Investment Aims to Spur AI-Data Center Expansion, Fuel Next Phase of Growth
Nxtra to be Valued at Around US$3.1 Billion Post-Closing of Transaction
Bharti Airtel (NSE: BHARTIARTL) (“Airtel”), today announced an investment of US$ 1 Billion by Alpha Wave Global, Carlyle (NASDAQ: CG) and Anchorage Capital, through their affiliates, in Nxtra Data Limited (“Nxtra”), a subsidiary of Bharti Airtel engaged in the data center business, to expand its network across India and accelerate growth. Airtel will also participate in this round.
As part of the pact, Alpha Wave Global will invest US$435 million, Carlyle US$240 million, Anchorage Capital US$35 million, with the rest being infused by Airtel. The investors’ final shareholding will be subject to finalized post-closing adjustments. Airtel will continue to retain a controlling stake in Nxtra. The deal is subject to regulatory approvals in India.
Nxtra – the first data center company in India to deploy AI at scale for predictive maintenance, energy efficiency, and automated operations – intends to deploy proceeds from the fund infusion to accelerate its growth plans. It plans to extensively scale its infrastructure and broaden its portfolio of services, catering to the evolving needs of enterprises, hyperscalers, and government organisations across the country.
India’s data center sector is currently witnessing rapid growth, driven by accelerating digital transformation across enterprises, rising adoption of cloud services, and expanding demand from hyperscalers. According to a Savills India report, India’s data center market is expected to grow at a CAGR of around 21% between 2024 and 2030 to reach nearly 3,400 MW of IT capacity.
“At Nxtra, we have built one of India’s most advanced and sustainable data center networks, designed to meet the evolving needs of enterprises, hyperscalers, and government. With ~300 MW capacity today, we aim to scale to 1 GW in the next few years, targeting ~25% market share,” Gopal Vittal, Executive Vice Chairman, Airtel, said.
Strategic partnerships with global investors and technology leaders are central to our growth roadmap, enabling us to accelerate expansion, harness world-class expertise, and deliver next-generation digital infrastructure solutions at scale. With strong market demand, we are committed to stepping up investments and strengthening India’s position as a leading data center hub.”
“We have built a strong partnership with Airtel and continue to believe Nxtra is well-positioned to benefit from India’s long-term digital infrastructure tailwinds. The company has made significant progress in expanding its capabilities, strengthening customer relationships and building a scalable platform, and we look forward to further working with Airtel and Nxtra’s management team to build the company into one of the largest datacenter players in India,” said Kapil Modi, Partner at Carlyle India Advisors.
Rick Gerson, Co-Founder & CIO, Alpha Wave Global, said, “Alpha Wave has a particular focus on identifying and backing AI-first businesses including Anthropic, OpenAI, Cerebras, SpaceX, X.ai, Ramp, Cognition and Long Lake Management. We are excited to partner with Mr. Sunil Mittal and the Bharti Group — a franchise defined by outstanding leadership and a remarkable track record of executing at scale alongside institutional investors – as Nxtra scales to become India's leading data center business.”
Navroz D. Udwadia, Co-Founder, Alpha Wave Global, added, “India has an immense AI opportunity ahead of it — Indians already meaningfully interact with and on Chat GPT, Claude and other AI platforms. As such India is set to see its data center capacity grow meaningfully to keep up with hyperscaler and LLM demand.”