Blackstone and SoftBank Group are reportedly in early discussions to invest in Neysa Networks, an Indian cloud infrastructure startup, according to people familiar with the matter.
Sources said that the US-based asset manager Blackstone is considering acquiring a majority stake, while SoftBank may take a minority position. The talks are still at an early stage, and final decisions are yet to be made. Other investors could also join the potential deal, the sources added.
Founded in 2023 by Sharad Sanghi and Anindya Das, Neysa Networks offers cloud infrastructure services that allow businesses to run artificial intelligence models on demand. The company has so far raised about 50 million dollars from investors including Z47, formerly known as Matrix Partners India, and Nexus Venture Partners, according to its website.
Blackstone declined to comment on the development, while representatives from SoftBank and Neysa have not yet responded to requests for comment.
According to sources, the investment could value Neysa at under 300 million dollars. However, any investor taking a stake may also need to commit additional capital to support the startup’s expansion plans.
Globally, investors have been increasing their investments in data centres and cloud infrastructure to support the growing demand for artificial intelligence technologies. Despite some concerns about overbuilding, the sector continues to attract significant capital as AI adoption rises.
If the deal goes through, it would mark SoftBank’s first new investment in India in more than three years. For Blackstone, the move would strengthen its growing digital infrastructure portfolio in India, where it has been actively investing in real estate and infrastructure projects.
Blackstone’s Head of Private Equity in Asia, Amit Dixit, stated in 2024 that data centres are a key focus area for the firm’s growth strategy. The company already supports Lumina CloudInfra in India and owns AirTrunk, an Australian data centre operator that has announced plans to set up its next facility in India.
India’s data centre sector has recently seen a surge in large-scale investments. In 2023, Brookfield Infrastructure Partners and Digital Realty formed a joint venture with Reliance Industries, while Google and Adani Enterprises announced a 15 billion dollar investment in Indian data centre projects last month.
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