Blackstone and SoftBank Group are reportedly in early discussions to acquire stakes in Neysa Networks, an Indian cloud infrastructure startup, according to people familiar with the matter.
The US-based alternative asset manager is evaluating a majority stake, while SoftBank is considering a minority investment, the sources said, requesting anonymity as the talks remain confidential.
Founded in 2023 by Sharad Sanghi and Anindya Das, Neysa Networks provides cloud-computing infrastructure that enables companies to run artificial intelligence (AI) models on demand. The startup has already raised about $50 million from investors such as Z47 (formerly Matrix Partners India) and Nexus Venture Partners, according to details available on its website.
While Blackstone declined to comment on the matter, representatives for SoftBank and Neysa did not respond to requests for comment. Insiders noted that the potential deal could value Neysa at under $300 million, although any incoming investor would likely need to infuse additional capital to support the company’s ambitious expansion plans.
The growing investor interest reflects a global surge in funding for data centers and cloud infrastructure, driven by the booming demand for AI services. Investors worldwide are channeling billions into capital-intensive data ecosystems to power next-generation AI models. However, some experts continue to question whether the sector might be overbuilding capacity ahead of proven, long-term profitability.
If finalized, the deal would mark SoftBank’s first new investment in India in over three years, signaling a potential renewed focus on the country’s fast-growing AI and digital ecosystem. For Blackstone, a transaction with Neysa would further strengthen its digital infrastructure portfolio in India, complementing its existing real estate and infrastructure investments.
In 2024, Amit Dixit, Blackstone’s Head of Private Equity in Asia, had emphasized that data centers remain a key area of growth. The firm already backs Lumina CloudInfra in India and AirTrunk, the Australian data center operator it acquired, which has announced plans to build its next facility in India.
The interest in Neysa comes amid a wave of global data center partnerships. In 2023, Brookfield Infrastructure Partners and Digital Realty teamed up with Reliance Industries Ltd., while Google and Adani Enterprises Ltd. revealed plans just last month to invest $15 billion in Indian data centers, underscoring the massive momentum in the country’s digital infrastructure landscape.
