Bengaluru: Sify Infinit Spaces Ltd is preparing to launch its public offering as the company plans to expand its data centre network to meet growing demand fuelled by artificial intelligence applications and cloud services. The company is expected to raise around Rs 3700 crore through the issue, which could make it India’s first listed data centre operator.
Sify currently operates 14 data centres across the country and has 11 more under development. Its chief executive officer said there is strong momentum in demand for storage and computing space in India, especially from large global technology companies known as hyperscalers. However, he also warned that the industry must avoid expanding too fast and creating excess capacity.
The company plans to use the funds from the public issue to support large new data centre projects and strengthen its infrastructure. Along with hyperscale clients, Sify aims to expand its customer base to include banks, ecommerce firms and media companies that need secure local storage as digital services grow.
India is witnessing rapid growth in the data centre sector as more users adopt AI tools, video streaming, digital payments and cloud software. New rules requiring companies to store certain data within the country have also increased interest in the sector. Industry reports indicate that India may see more than 50 billion dollars in investments in this space over the coming years.
However, experts say the sector also faces challenges including rising competition from conglomerates like Reliance, Adani and Tata, as well as concerns about power and water use linked to large data facility operations.
The rollout of Sify’s new centres is expected to take two to three years. Investors and analysts will be watching whether demand continues to grow at the current pace and whether the sector can expand sustainably.
The company’s public issue timeline is expected to be announced after regulatory approvals.