GDS (9698) is considering a US initial public offering of its GDS International business to raise about US$500 million (HK$3.9 billion), according to people familiar with the situation.

The Chinese data center operator may try to list GDSI, which runs its facilities in Hong Kong and Southeast Asia, as soon as this year, the people said. GDS is in talks with banks about working on the IPO, they added.

Deliberations are ongoing and may not lead to a deal, the people said.

GDS didn’t respond to requests for comment.