MC EXCLUSIVE I Squared Capital weighing part stake sale in digital infra platform Lightstorm at up to $1.5 bn valuation

Lightstorm, which has its India corporate office at Gurugram, started its domestic operations in 2020 as per its website.

• I Squared Capital may sell a 20 percent stake in Lightstorm
• Stake sale could value Lightstorm at up to $1.5 billion
• Lightstorm plans IPO within 18-24 months, aiming for $2.5B valuation

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Miami headquartered global infrastructure investor I Squared Capital is evaluating options for a part stake sale in portfolio firm Lightstorm, a pan-Asia digital infrastructure platform with India presence focused on high-speed fiber and NaaS ( Network-as-a-Service) solutions , multiple industry sources in the know told Moneycontrol.

“ I Squared Capital is in value unlocking mode and the investment major is evaluating a minority stake sale of around 20 per cent in Lightstorm, amid a booming demand for data centres, ” said one of the persons above.

“ The plan is to tap private equity funds for the private trade and seek a valuation of up to $1.5 bn,” a second person added.

According to a third person,” I Squared Capital has roped in an advisor and is likely to launch this proposed deal in March or April,” warning that the plans are at an early stage and may be deferred or change depending on market conditions.

“ Post the completion of the minority stake sale, in the next 18 to 24 months, the next step would be to prepare for an initial public offer targeting a potential valuation of up to $2.5 bn,” a fourth person elaborated.

All the four persons above spoke to Moneycontrol on the condition of anonymity.

Lightstorm and I Squared Capital declined to comment in response to a detailed email query from Moneycontrol.

The Lightstorm story

As per its Linkedin page, Lightstorm “is building infrastructure for hyperscale networking in APAC to accelerate the region's growth and spur innovation in the digital economy.”

“We are a pioneer in building a first-of-its-kind utility-grade resilient fiber network, SmartNet, in several countries in the region. Our Network-as-a-Service (NaaS) platform opens new opportunities for enterprises by providing a simple, secure and smart way to enhance their application performance and user experience,” the Linkedin page adds.

In February 2025, Lightstorm announced that it had secured Rs 700 crore in funding from infra focused investor NIIF.

“This partnership will fuel our growth plans, allowing us to tap into expansion, new opportunities and unlock our business potential. As AI and data center growth reshape India’s digital ecosystem, this funding will enable us to build the robust connectivity backbone required to support this transformation,” Amajit Gupta, Group CEO and MD, Lightstorm had said as part of the announcement.

Lightstorm, which has its India corporate office at Gurugram, started its domestic operations in 2020 as per its website. As of February 2025, the firm had a fiber network of 30,000 plus kms across India with a capacity of around 700 Tbps serving 100 plus customers.

Later in May 2025, the firm announced the successful integration of the assets acquired from RTI Cables, further strengthening its global subsea and terrestrial network.

“With over 75 Tbps of capacity, connectivity across 25+ data centers, and coverage in 7 key markets—Tokyo, Sydney, Brisbane, Guam, Hawaii, Los Angeles, and Singapore—Lightstorm is redefining the high-performance data center connectivity platform for hyperscalers, cloud providers, and enterprises. These 21,000 km of subsea cable systems form the backbone of a high-capacity, low-latency infrastructure that enables seamless interconnectivity for global enterprises, “ the announcement added.

A closer look at I Squared Capital

I Squared Capital is dedicated to the mid-market, managing more than $50 billion in assets. Founded in 2012, the private equity firm has evolved into one of the most diverse infrastructure investors in the world with investments across power & utilities; transportation & logistics; digital infrastructure; environmental infrastructure and social infrastructure, providing essential services to millions of people around the world.

The firm’s portfolio includes over 100 companies operating in more than 70 countries. It has a global team across offices in Abu Dhabi, London, Munich, New Delhi, São Paulo, Singapore, Sydney and Taipei.

Lens on deals and India market

In recent deals, Coforge acquired US based AI engineering firm Encora for $2.35 bn in a bid to bolster AI, data and cloud services and HCL Tech purchased HPE’s Telco Solutions business, enhancing G network management and AI automation for telcos.

Meanwhile, Blackstone is planning a Rs 10,000 crore digital infra hub in Chennai as per reports, while the Adani Group has announced a massive $100 bn investment plan over the next decade for renewable -powered, AI-ready hyperscale data centres.

India is fast-tracking its telecom transformation — positioning itself not only as a global telecom equipment powerhouse but also as the builder of a rapidly expanding digital carriageway spanning manufacturing, applications and next-generation technologies, Union Communications Minister Jyotiraditya M. Scindia said in an exclusive interaction with Moneycontrol on March 3.