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Document and Entity Information	9 Months Ended
Document and Entity Information	Sep. 30, 2017
Document and Entity Information
Entity Registrant Name	GDS Holdings Ltd
Entity Central Index Key	0001526125
Document Type	6-K
Document Period End Date	Sep. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q3

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Current assets
Cash (including cash of VIEs of RMB397,948 and RMB201,998 as of December 31, 2016 and September 30, 2017, respectively)	¥ 1,174,079	¥ 1,811,319
Restricted cash (including restricted cash of VIEs of RMB10,091 and RMB10,291 as of December 31, 2016 and September 30, 2017, respectively)	53,155	27,673
Accounts receivable, net of allowance for doubtful accounts (including accounts receivable, net of allowance for doubtful accounts of VIEs of RMB172,538 and RMB292,865 as of December 31, 2016 and September 30, 2017, respectively)	306,308	198,851
Value-added-tax ("VAT") recoverable (including VAT recoverable of VIEs of RMB13,399 and RMB11,819 as of December 31, 2016 and September 30, 2017, respectively)	87,377	72,958
Prepaid expenses (including prepaid expenses of VIEs of RMB28,466 and RMB42,564 as of December 31, 2016 and September 30, 2017, respectively)	54,565	50,361
Other current assets (including other current asset of VIEs of RMB1,201 and RMB12,252 as of December 31, 2016 and September 30, 2017, respectively)	35,485	49,151
Total current assets	1,710,969	2,210,313
Property and equipment, net (including property and equipment, net of VIEs of RMB1,421,036 and RMB1,418,200 as of December 31, 2016 and September 30, 2017, respectively)	6,368,830	4,322,891
Intangible assets, net (including intangible assets, net of VIEs of RMB54,558 and RMB48,547 as of December 31, 2016 and September 30, 2017, respectively)	259,229	92,569
Prepaid land use rights, net	26,364	26,792
Goodwill	1,497,788	1,341,087
Deferred tax assets (including deferred tax assets of VIEs of RMB8,178 and RMB10,512 as of December 31, 2016 and September 30, 2017, respectively)	16,428	12,626
VAT recoverable (including VAT recoverable of VIEs of RMB12,094 and RMB11,072 as of December 31, 2016 and September 30, 2017, respectively)	237,682	98,863
Other non-current assets (including other non-current assets of VIEs of RMB36,357 and RMB45,498 as of December 31, 2016 and September 30, 2017, respectively)	137,011	98,725
Total assets	10,254,301	8,203,866
Current liabilities
Short-term borrowings and current portion of long-term borrowings (including short-term borrowings and current portion of long-term borrowings of VIEs of RMB413,600 and RMB257,000 as of December 31, 2016 and September 30, 2017, respectively)	952,734	628,478
Accounts payable (including accounts payable of VIEs of RMB152,192 and RMB101,392 as of December 31, 2016 and September 30, 2017, respectively)	579,333	513,543
Accrued expenses and other payables (including accrued expenses and other payables of VIEs of RMB125,989 and RMB103,211 as of December 31, 2016 and September 30, 2017 respectively)	291,377	207,950
Deferred revenue (including deferred revenue of VIEs of RMB30,033 and RMB35,370 as of December 31, 2016 and September 30, 2017, respectively)	44,408	40,657
Capital lease and other financing obligations, current (including capital lease and other financing obligations, current of VIEs of RMB55,311 and RMB24,807 as of December 31, 2016 and September 30, 2017, respectively)	38,594	88,593
Total current liabilities	1,906,446	1,479,221
Long-term borrowings, excluding current portion (including long-term borrowings, excluding current portion of VIEs of RMB6,500 as of September 30, 2017)	2,241,895	1,509,676
Convertible bonds payable	995,535	1,040,550
Capital lease and other financing obligations, non-current (including capital lease and other financing obligations, non-current of VIEs of RMB631,874 and RMB674,412 as of December 31, 2016 and September 30, 2017, respectively)	1,713,262	1,022,959
Deferred tax liabilities (including deferred tax liabilities of VIEs of RMB39,426 and RMB34,851 as of December 31, 2016 and September 30, 2017, respectively)	91,575	53,280
Other long-term liabilities (including other long-term liabilities of VIEs of RMB8,717 and RMB12,470 as of December 31, 2016 and September 30, 2017, respectively)	481,472	111,706
Total liabilities	7,430,185	5,217,392
Shareholders' equity
Ordinary shares (US$0.00005 par value; 2,002,000,000 shares authorized; 760,009,043 and 780,008,922 shares issued and outstanding as of December 31, 2016 and September 30, 2017, respectively)	267	260
Additional paid-in capital	4,083,234	4,036,959
Accumulated other comprehensive loss	(190,363)	(192,080)
Accumulated deficit	(1,069,022)	(858,665)
Total shareholders' equity	2,824,116	2,986,474
Commitments and contingencies
Total liabilities and shareholders' equity	¥ 10,254,301	¥ 8,203,866

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) ¥ in Thousands	Sep. 30, 2017 $ / shares	Sep. 30, 2017 CNY (¥) shares	Dec. 31, 2016 $ / shares	Dec. 31, 2016 CNY (¥) shares
Current assets, VIEs
Cash		¥ 1,174,079		¥ 1,811,319
Restricted cash		53,155		27,673
Accounts receivable, net of allowance for doubtful accounts		306,308		198,851
Value-added-tax ("VAT") recoverable		87,377		72,958
Prepaid expenses		54,565		50,361
Other current assets		35,485		49,151
Property and equipment, net		6,368,830		4,322,891
Intangible assets, net		259,229		92,569
Deferred tax assets		16,428		12,626
VAT recoverable		237,682		98,863
Other non-current assets		137,011		98,725
Current liabilities, VIEs
Short-term borrowings and current portion of long-term borrowings		952,734		628,478
Accounts payable		579,333		513,543
Accrued expenses and other payables		291,377		207,950
Deferred revenue		44,408		40,657
Capital lease and other financing obligations, current		38,594		88,593
Long-term borrowings, excluding current portion		2,241,895		1,509,676
Capital lease and other financing obligations, non-current		1,713,262		1,022,959
Deferred tax liabilities		91,575		53,280
Other long-term liabilities		¥ 481,472		¥ 111,706
Ordinary shares, par value (in dollars per share) \| $ / shares	$ 0.00005		$ 0.00005
Ordinary shares, shares authorized \| shares		2,002,000,000		2,002,000,000
Ordinary shares, shares issued \| shares		780,008,922		760,009,043
Ordinary shares, shares outstanding \| shares		780,008,922		760,009,043
VIEs
Current assets, VIEs
Cash		¥ 201,998		¥ 397,948
Restricted cash		10,291		10,091
Accounts receivable, net of allowance for doubtful accounts		292,865		172,538
Value-added-tax ("VAT") recoverable		11,819		13,399
Prepaid expenses		42,564		28,466
Other current assets		12,252		1,201
Property and equipment, net		1,418,200		1,421,036
Intangible assets, net		48,547		54,558
Deferred tax assets		10,512		8,178
VAT recoverable		11,072		12,094
Other non-current assets		45,498		36,357
Current liabilities, VIEs
Short-term borrowings and current portion of long-term borrowings		257,000		413,600
Accounts payable		101,392		152,192
Accrued expenses and other payables		103,211		125,989
Deferred revenue		35,370		30,033
Capital lease and other financing obligations, current		24,807		55,311
Long-term borrowings, excluding current portion		6,500
Capital lease and other financing obligations, non-current		674,412		631,874
Deferred tax liabilities		34,851		39,426
Other long-term liabilities		¥ 12,470		¥ 8,717

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Net revenue	¥ 1,110,690	¥ 744,291
Cost of revenue	(820,407)	(554,548)
Gross profit	290,283	189,743
Operating expenses
Selling and marketing expenses	(67,618)	(51,672)
General and administrative expenses	(160,473)	(174,775)
Research and development expenses	(4,720)	(6,921)
(Loss) Income from operations	57,472	(43,625)
Other income (expenses):
Interest income	4,287	1,640
Interest expenses	(274,383)	(181,336)
Foreign currency exchange gain (loss), net	(5,473)	6,746
Government grants	2,380	1,546
Others, net	322	166
Loss before income taxes	(215,395)	(214,863)
Income tax benefits	5,038	8,090
Net loss	(210,357)	(206,773)
Change in redemption value of redeemable preferred shares		(87,310)
(Cumulative) Dividend on preferred shares		(5,588)
Net loss attributable to ordinary shareholders	¥ (210,357)	¥ (299,671)
Loss per ordinary share
Basic and diluted (in CNY per share)	¥ (0.28)	¥ (1.37)
Weighted average number of ordinary share outstanding
Basic and diluted (in shares)	760,795,203	217,987,922

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Net loss	¥ (210,357)	¥ (206,773)
Other comprehensive (loss) income
Foreign currency translation adjustments, net of nil tax	1,717	(64,734)
Comprehensive loss	¥ (208,640)	¥ (271,507)

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Foreign currency translation adjustments, tax	¥ 0	¥ 0

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY - 9 months ended Sep. 30, 2017 - CNY (¥) ¥ in Thousands	Ordinary Shares	Additional paid-in capital	Accumulated Other Comprehensive Income (Loss)	Accumulated deficit	Total
Balance at Dec. 31, 2016	¥ 260	¥ 4,036,959	¥ (192,080)	¥ (858,665)	¥ 2,986,474
Balance (in shares) at Dec. 31, 2016	760,009,043				760,009,043
Changes in shareholders deficit
Loss for the period				(210,357)	¥ (210,357)
Other comprehensive income			1,717		1,717
Comprehensive loss			1,717	(210,357)	(208,640)
Share-based compensation		41,394			41,394
Shares surrendered (in shares)	(121)
Shares issued to depository bank	¥ 7	(7)
Shares issued to depository bank (in shares)	20,000,000
Exercise of share options		1,975			¥ 1,975
Exercise of share options (in shares)	376,984				376,984
Vesting of restricted shares (in shares)	1,621,120
Settlement of liability-classified restricted shares award		2,913			¥ 2,913
Settlement of liability-classified restricted shares award (in shares)	396,800
Settlement of share options and restricted share units with shares held by depository bank (in shares)	(2,394,904)
Balance at Sep. 30, 2017	¥ 267	¥ 4,083,234	¥ (190,363)	¥ (1,069,022)	¥ 2,824,116
Balance (in shares) at Sep. 30, 2017	780,008,922				780,008,922

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities
Net loss	¥ (210,357)	¥ (206,773)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of debt issuance cost and debt discount	17,425	422
Depreciation and amortization	260,738	156,086
Share-based compensation expense	41,394	57,187
Deferred tax benefit	(11,438)	(11,431)
Changes in operating assets and liabilities, net of effect of acquisitions:
Increase of accounts receivable	(103,268)	(72,721)
Decrease (increase) of VAT recoverable	(129,474)	27,546
Increase of prepaid expenses	(3,681)	(76,960)
Increase of restricted cash	(21,862)	(18,011)
(Increase) decrease of other current assets	13,666	(31,486)
Increase of other non-current assets	(10,479)	(46,280)
Increase (decrease) of accounts payable	(7,585)	56,911
Decrease of the amount due to a related party		(2,668)
(Decrease) increase of deferred revenue	3,751	(9,220)
Increase (decrease) of accrued expenses and other payables	(50,672)	42,067
Increase of other long-term liabilities	50,786	12,761
Net cash used in operating activities	(161,056)	(122,570)
Cash flows from investing activities
Payments for purchase of property and equipment	(1,175,471)	(704,429)
Payments for purchase of intangible assets	(6,000)
Loans advanced to subsidiaries prior to acquisitions	(6,025)	(42,000)
Cash acquired from the acquisition of subsidiaries	11,153	1,237
Cash paid for the acquisition of subsidiaries	(52,565)	(103,600)
Deposit paid for potential acquisitions	(500)	(15,000)
Net cash used in investing activities	(1,229,408)	(863,792)
Cash flows from financing activities
Proceeds from short-term borrowings	206,404	204,000
Proceeds from long-term borrowings	1,153,543	957,618
Repayment of short-term borrowings	(132,129)	(267,000)
Repayment of long-term borrowings	(387,708)	(260,414)
Payment of issuance cost of borrowings	(10,326)	(39,668)
Proceeds from exercise of stock options	1,193
Proceeds from issuance of convertible bonds payable		262,106
Payment under capital lease and other financing obligations	(25,869)	(9,320)
Net cash provided by financing activities	805,108	847,322
Effect of exchange rate changes on cash	(51,884)	13,274
Net decrease in cash	(637,240)	(125,766)
Cash at beginning of period	1,811,319	924,498
Cash at end of period	1,174,079	798,732
Supplemental disclosures of cash flow information
Interest paid	257,503	147,701
Income tax paid	743	5,645
Supplemental disclosures of non-cash investing and financing activities
(Settlement of) payables for purchase of property and equipment	(12,140)	95,504
Purchase of property and equipment through capital leases and other financing arrangement	269,456	506,766
Consideration payable for the acquisition of subsidiaries	¥ 244,839	¥ 25,900

BASIS OF PRESENTATION	9 Months Ended
BASIS OF PRESENTATION	Sep. 30, 2017
BASIS OF PRESENTATION
BASIS OF PRESENTATION	1 BASIS OF PRESENTATION The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("US GAAP"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as permitted by rules and regulations of the United States Securities and Exchange Commission ("SEC"). The condensed consolidated balance sheet as of December 31, 2016 was derived from the audited consolidated financial statements of GDS Holdings Limited ("GDS Holdings") and its subsidiaries (collectively, "the Company"). The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated balance sheet of the Company as of December 31, 2016 and the related consolidated statements of operations, comprehensive loss, changes in shareholders' equity (deficit) and cash flows for the year then ended and the related notes to the consolidated financial statements, included in the Annual Report on Form 20-F for the year ended December 31, 2016, filed with the SEC on April 19, 2017. The condensed consolidated financial statement are presented in Renminbi ("RMB"), rounded to the nearest thousand. In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present a fair statement of the financial position as of September 30, 2017, and the results of operations and cash flows for the nine-month periods ended September 30, 2016 and 2017, have been made. The preparation of condensed consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include, but are not limited to, the useful lives of long-lived assets, the fair values of assets acquired and liabilities assumed and the consideration transferred in a business combination, the allowance for doubtful accounts receivable, the realization of deferred income tax assets, the fair value of share- based compensation awards, the recoverability of long-lived assets and the fair value of the asset retirement obligation. Changes in facts and circumstances may result in revised estimates. Actual results could differ from those estimates, and as such, differences may be material to the condensed consolidated financial statements. The accompanying condensed consolidated financial statements contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. The realization of assets and the satisfaction of liabilities in the normal course of business are dependent on, among other things, the Company's ability to operate profitably, to generate cash flows from operations, and to pursue financing arrangements, including obtaining new bank borrowings or renewing its existing bank borrowings. Historically, the Company relied on short-term and long-term borrowings, including borrowings from related parties, and issuance of debt and equity securities, including the Company's initial public offering, and convertible bonds to fund its working capital and capital expenditure requirements and to meet its obligations and commitments when they become due.

PRINCIPLES OF CONSOLIDATION

9 Months Ended

Sep. 30, 2017

PRINCIPLES OF CONSOLIDATION

PRINCIPLES OF CONSOLIDATION

2 PRINCIPLES OF CONSOLIDATION

The accompanying condensed consolidated financial statements include the financial statements of GDS Holdings Limited, its subsidiaries and consolidated variable interest entities ("VIEs") and their subsidiaries for which the Company is the primary beneficiary. The VIEs are Beijing Wanguo Chang'an Science and Technology Co., Ltd. ("GDS Beijing") and Shanghai Shu'an Data Services Co., Ltd. ("GDS Shanghai").

In certain regions of the People's Republic of China ("PRC"), the Company's operations are conducted through VIEs to comply with the PRC laws and regulations, which prohibit foreign investments in companies that are engaged in data center related business in those regions. Individuals acting as nominee equity holders hold the legal equity interests of the VIEs on behalf of the Company. The equity holders of the VIEs are the CEO of the Company and his relative.

Under the terms of the VIE Agreements, the Company has (i) the right to receive service fees on a yearly basis at an amount equivalent to all of the net profits of the VIEs under the exclusive technology license and services agreements when such services are provided; (ii) the right to receive all dividends declared by the VIEs and the right to all undistributed earnings of the VIEs; (iii) the right to receive the residual benefits of the VIEs through its exclusive option to acquire 100% of the equity interests in the VIEs, to the extent permitted under PRC law; and (iv) the right to require each of the shareholder of the VIEs to appoint the PRC citizen(s) as designated by Shanghai Free Trade Zone GDS Management Co., Ltd. ("GDS Management Company"), a subsidiary of the Company, to act as such shareholder's exclusive attorney-in-fact to exercise all shareholder rights, including, but not limited to, voting on all matters of the VIEs requiring shareholder approval, disposing of all or part of the shareholder's equity interest in the VIEs, and appointing directors and executive officers.

In accordance with Accounting Standards Codification ("ASC") 810-10-25-38A, the Company has a controlling financial interest in the VIEs because the Company has (i) the power to direct activities of the VIEs that most significantly impact the economic performance of the VIEs; and (ii) the obligation to absorb the expected losses and the right to receive expected residual return of the VIEs that could potentially be significant to the VIEs. The terms of the VIE Agreements and the Company's financial support to the VIEs were considered in determining that the Company is the primary beneficiary of the VIEs. Accordingly, the financial statements of the VIEs are consolidated in the Company's consolidated financial statements.

Under the terms of the VIE Agreements, the VIEs' equity holders have no rights to the net assets nor have the obligations to fund the deficit, and such rights and obligations have been vested to the Company. All of the equity (net assets) or deficits (net liabilities) and net income (loss) of the VIEs are attributed to the Company.

The Company has been advised by its PRC legal counsel that each of the VIE agreements is valid, binding and enforceable in accordance with its terms and applicable PRC laws and the ownership structure of the VIEs does not violate applicable PRC Laws. However, there are substantial uncertainties regarding the interpretation and application of PRC laws and future PRC laws and regulations. There can be no assurance that the PRC authorities will take a view that is not contrary to or otherwise different. If the current ownership structure of the Company and the VIE Agreements are determined to be in violation of any existing or future PRC laws and regulations, the PRC government could:


	•	Levy fines on the Company or confiscate income of the Company;
	•	Revoke or suspend the VIEs' business or operating licenses;
	•	Discontinue or place restrictions or onerous conditions on VIE's operations;
	•	Require the Company to discontinue their operations in the PRC;
	•	Require the Company to undergo a costly and disruptive restructuring;
	•	Take other regulatory or enforcement actions that could be harmful to the Company's business.

The imposition of any of these government actions could result in the termination of the VIE agreements, which would result in the Company losing the (i) ability to direct the activities of the VIEs and (ii) rights to receive substantially all the economic benefits and residual returns from the VIEs and thus result in the deconsolidation of the VIEs in the Company's consolidated financial statements.

The assets and liabilities of the VIEs and their subsidiaries are presented parenthetically on the face of the condensed consolidated balance sheets. Net revenue, net income, operating, investing and financing cash flows of the VIEs that were included in the Company's condensed consolidated financial statements for the nine-month periods ended September 30, 2016 and 2017 are as follows:

	Nine-month periods ended September 30,
	2016			2017
Net revenue		413,567			1,010,033
Net income (loss)		44,014			(9,024	)
Net cash provided by (used in) operating activities		59,018			(20,925	)
Net cash used in investing activities		(83,804	)		(65,437	)
Net cash provided by (used in) financing activities		277,018			(109,588	)

The unrecognized revenue producing assets that are held by the VIEs and their subsidiaries comprise of internally developed software, intellectual property and trademarks which were not recorded on the Company's condensed consolidated balance sheets as they do not meet all the capitalization criteria.

Costs recognized by the VIEs for outsourcing and other services provided by other entities within the Company were RMB189,715 and RMB548,902 for the nine months ended September 30, 2016 and 2017, respectively.

RECENTLY ISSUED ACCOUNTING STANDARDS	9 Months Ended
RECENTLY ISSUED ACCOUNTING STANDARDS	Sep. 30, 2017
RECENTLY ISSUED ACCOUNTING STANDARDS
RECENTLY ISSUED ACCOUNTING STANDARDS	3 RECENTLY ISSUED ACCOUNTING STANDARDS In May 2017, Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2017-09 Compensation—Stock Compensation (Topic 718). This ASU was issued primarily to provide clarity and reduce both diversity in practice and cost and complexity when applying the guidance in Topic 718 to a change to the terms or conditions of a share-based payment award. This ASU affects any entity that changes the terms or conditions of a share-based payment award. This ASU provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting in Topic 718. This ASU is effective for annual or any interim reporting periods beginning after December 15, 2017 with early adoption permitted. The adoption of ASU 2017-09 is not expected to have a significant impact on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-04 Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. This ASU is to simplify the subsequent measurement of goodwill. The ASU eliminates step 2 from the goodwill impairment test and the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform step 2 of the goodwill impairment test. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. This ASU should be applied on a prospective basis. This ASU is effective for the Company for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact that the adoption of this standard will have on its consolidated financial statements. In January 2017, FASB issued ASU No. 2017-03, Accounting Changes and Error Corrections (Topic 250). The ASU adds SEC disclosure requirements for both the quantitative and qualitative impacts that certain recently issued accounting standards will have on the financial statements of a registrant when such standards are adopted in a future period. Specially, these disclosure requirements apply to the adoption of ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606); ASU No. 2016-02, Leases (Topic 842); and ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This ASU is effective immediately. In January 2017, FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. The ASU affects all companies and other reporting organizations that must determine whether they have acquired or sold a business. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The ASU is effective for annual periods beginning after December 15, 2017, including interim periods within those periods with early adoption being permitted. The Company is currently evaluating the impact that the adoption of this standard will have on its consolidated financial statements and expects to adopt the standard prospectively on January 1, 2018. In November 2016, FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. This ASU applies to all entities that have restricted cash or restricted cash equivalents and are required to present a statement of cash flows. The ASU requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This ASU is effective for the Company for its fiscal years beginning after December 15, 2017, and interim periods within those fiscal years with early adoption being permitted. The adoption of ASU 2016-18 is not expected to have a significant impact on its consolidated financial statements. In October 2016, FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. This ASU requires the recognition of the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. This ASU is effective for fiscal years and interim period within those fiscal years, beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact that the adoption of this standard will have on its consolidated financial statements. In August 2016, FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This ASU provides guidance on the classification of eight cash flow issues to reduce the existing diversification in practice, including (a) debt prepayment or debt extinguishment costs; (b) settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; (c) contingent consideration payments made after a business combination; (d) proceeds from settlement of insurance claims; (e) proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; (f) distributions received from equity method investees; (g) beneficial interests in securitization transactions; and (h) separately identifiable cash flows and application of the predominance principle. The ASU is effective for fiscal years and interim period within those fiscal years, beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact that the adoption of this standard will have on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) ("ASU 2016-02"). Under the new guidance, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: (1) a lease liability, which is a lessee's obligation to make lease payments arising from a lease, measured on a discounted basis; and (2) a right-of-use asset, which is an asset that represents the lessee's right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers. The new lease guidance simplified the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. While the Company is currently evaluating the impact that the adoption of this standard will have on its consolidated financial statements, the Company believes this standard will have a significant impact on its consolidated financial statements due, in part, to the substantial amount of leases it has. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers ("ASU 2014-09") Topic 606 and issued subsequent amendments to the initial guidance in August 2015, March 2016, April 2016 and May 2016 within ASU 2015-14, ASU 2016-08, ASU 2016-10, ASU 2016-12 and ASU 2016-20, respectively (ASU 2014-09, ASU 2015-14, ASU 2016-08, ASU 2016-10, ASU 2016-11, ASU 2016-12 and ASU 2016-20 collectively, Topic 606). Topic 606 will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of Topic 606 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. Topic 606 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. Topic 606 allows entities to adopt with one of these two methods: full retrospective, which applies retrospectively to each prior reporting period presented, or modified retrospective, which recognizes the cumulative effect of initially applying the revenue standard as an adjustment to the opening balance of retained earnings in the period of initial application. The Company currently anticipates adopting the standard using the modified retrospective method. Topic 606, as amended, is effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods therein (i.e., January 1, 2018, for a calendar year entity). Early application is permitted only as of annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The Company will adopt the standard on January 1, 2018. While the Company is continuing to evaluate all potential impacts of the standard, the Company does not believe the adoption of Topic 606 is going to have a significant impact on its consolidated financial statements.

ACCOUNTS RECEIVABLES, NET

9 Months Ended

Sep. 30, 2017

ACCOUNTS RECEIVABLES, NET

ACCOUNTS RECEIVABLES, NET

4 ACCOUNTS RECEIVABLES, NET

Accounts receivables, net consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Accounts receivables		198,851		306,308
Less: allowance for doubtful accounts		—		—

Accounts receivables, net		198,851		306,308

The Company generally invoices its customers on a monthly or quarterly basis in accordance with the contract terms. Due to the timing difference between the billing and revenue recognition, accounts receivables included an unbilled portion of RMB117,192 and RMB212,472 as of December 31, 2016 and September 30, 2017, respectively.

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

PROPERTY AND EQUIPMENT, NET

9 Months Ended

Sep. 30, 2017

PROPERTY AND EQUIPMENT, NET.

PROPERTY AND EQUIPMENT, NET

5 PROPERTY AND EQUIPMENT, NET

Property and equipment consisted of the following:

		As of December 31, 2016			As of September 30, 2017
At cost:
Buildings			1,652,641			2,227,168
Data center equipment			1,349,069			1,712,577
Leasehold improvement			1,202,979			1,700,203
Furniture and office equipment			31,270			35,331
Vehicles			3,199			3,397

			4,239,158			5,678,676
Less: Accumulated depreciation			(613,658	)		(857,006	)

			3,625,500			4,821,670
Construction in progress			697,391			1,547,160

Property and equipment, net			4,322,891			6,368,830



(1)	The carrying amounts of the Company's property and equipment acquired under capital leases and other financing arrangement at the respective balance sheet dates were as follows:

	As of December 31, 2016			As of September 30, 2017
At cost:
Buildings (note)		1,286,079			1,964,535
Data center equipment		26,375			12,718

		1,312,454			1,977,253
Less: Accumulated depreciation		(64,151	)		(114,827	)

		1,248,303			1,862,426


Note:		This item included those buildings under construction, of RMB313,721 and RMB419,177, respectively, as of December 31, 2016 and September 30, 2017.

(2)	Depreciation of property and equipment (including assets acquired under capital leases and other financing arrangement) was RMB146,016 and RMB244,898 for the nine-month periods ended September 30, 2016 and 2017, respectively, and included in the following captions:

		Nine-month periods ended September 30,
		2016		2017
Cost of revenue			142,553		239,581
General and administrative expenses			3,063		4,895
Research and development expenses			400		422

			146,016		244,898



(3)	Interest costs that are directly attributable to the construction of an asset which necessarily takes a substantial period of time to get ready for its intended use or sale are capitalized as part of the cost of that asset. A reconciliation of total interest costs to "Interest expenses" as reported in the condensed consolidated statements of operations is as follows:

	Nine-month periods ended September 30,
	2016			2017
Total interest costs		228,636			312,574
Less: interest costs capitalized		(47,300	)		(38,191	)

Interest expenses		181,336			274,383

INTANGIBLE ASSETS, NET

9 Months Ended

Sep. 30, 2017

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET

6 INTANGIBLE ASSETS, NET

Intangible assets consisted of the following:

	As of December 31, 2016			As of September 30, 2017
Customer relationships		104,322			280,822
Favorable lease		15,500			15,500
Others		—			6,000

		119,822			302,322
Less: accumulated amortization		(27,253	)		(43,093	)

Intangible assets, net		92,569			259,229

Amortization of intangible assets was RMB10,070 and RMB15,840 for the nine-month periods ended September 30, 2016 and 2017, respectively.

BUSINESS COMBINATION

9 Months Ended

Sep. 30, 2017

BUSINESS COMBINATION

BUSINESS COMBINATION

7 BUSINESS COMBINATION

Shenzhen 5 Acquisition

On June 29, 2017, the Company consummated an acquisition of all equity interests in a target group from a third party for an aggregate contingent purchase price of RMB312,000, of which RMB42,727 was paid up to September 30, 2017. The Company estimated that, pursuant to the share purchase agreement, all specified conditions would be met and the Company would be obligated to settle full amount of the purchase price of RMB312,000.

The target group owns a data center project ("Shenzhen 5") in Shenzhen, China. At the date of acquisition, the data center had just commenced its operations.

The identifiable assets acquired and liabilities assumed in the business combination were recorded at their fair value on the acquisition date and consisted of the following major items.

	Note
Fair value of consideration	(i)	294,491
Effective settlement of pre-existing relationships upon consolidation	(ii)	6,025
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash		(11,153	)
Property and equipment	(iii)	(821,405	)
Identifiable intangible assets	(iv)	(176,500	)
Other assets		(59,520	)
Accounts payable		219,207
Capital lease and other financing obligations, current		23,156
Capital lease and other financing obligations, non-current		363,380
Long-term borrowings		217,790
Deferred tax liabilities		45,931
Other liabilities		55,299

Total identifiable net assets		(143,815	)

Goodwill	(v)	156,701

Note (i):		The fair value of consideration represents the present value of the purchase price of RMB312,000, of which RMB42,727 was paid up to September 30, 2017. As of September 30, 2017, total consideration payable for the acquisition was RMB254,677, of which RMB 71,115 and RMB183,562 were recorded in other payables and other long-term liabilities, respectively.
Note (ii):		Prior to the acquisition, the Company had other receivables from the target group of RMB6,025, which was effectively settled with the seller upon completion of the acquisition.
Note (iii):		Property and equipment acquired included properties and equipment acquired under capital lease and other financing arrangement of RMB416,000, data center equipment of RMB174,292, leasehold improvement of RMB118,368 and construction in progress of RMB112,745.
Note (iv):		Identifiable intangible assets acquired consisted of customer relationships of RMB176,500 with an estimated useful life of 14.4 years.
Note (v):		Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in the acquisition. Goodwill is assigned to the design, build-out and operation of data centers reporting unit. Goodwill primarily represents the expected synergies from combining operations of the target group with those of the Company and intangible assets that do not qualify for separate recognition and is not deductible for tax purposes. In accordance with ASC 350, goodwill is not amortized but is tested for impairment.

The amounts of net revenue and net loss of the target group included in the Company's condensed consolidated statements of operations from the acquisition date to September 30, 2017 amounted to RMB18,984 and RMB10,029, respectively.

Supplemental pro forma financial information as if acquisition had occurred as of the earliest date presented has not been provided as the acquisition is not material to the Company's results of operations.

OTHER NON-CURRENT ASSETS

9 Months Ended

Sep. 30, 2017

OTHER NON-CURRENT ASSETS

OTHER NON-CURRENT ASSETS

8 OTHER NON-CURRENT ASSETS

Other non-current assets consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Deposits for leases		62,985		100,291
Other deposits		15,000		15,500
Others		20,740		21,220

		98,725		137,011

Deposits for leases amounted to RMB62,985 and RMB100,291 as of December 31, 2016 and September 30, 2017, respectively, which are expected to be refunded after one year of the balance sheet date at the end of the lease term. Deposits for leases, which are expected to be refunded within one year of the balance sheet date, are recorded in other current assets.

LOANS AND BORROWINGS

9 Months Ended

Sep. 30, 2017

LOANS AND BORROWINGS

LOANS AND BORROWINGS

9 LOANS AND BORROWINGS

The Company's borrowings consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Short-term borrowings		239,777		314,052
Current portion of long-term borrowings		388,701		638,682

Sub-total		628,478		952,734

Long-term borrowings, excluding current portion		1,509,676		2,241,895

Total loans and borrowings		2,138,154		3,194,629

Short-term borrowings

The Company's short-term borrowings consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Unsecured short-term loans and borrowings		—		50,000
Secured short-term loans and borrowings		239,777		264,052

		239,777		314,052

Short-term borrowings were secured by the following assets:

	As of December 31, 2016		As of September 30, 2017
Accounts receivable		19,914		12,998

The weighted average interest rates of short-term borrowings were 5.36% and 5.39% per annum for the nine-month periods ended September 30, 2016 and 2017, respectively.

Long-term borrowings

The Company's long-term borrowings consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Unsecured long-term loans and borrowings		—		7,500
Secured long-term loans and borrowings		1,898,377		2,873,077

		1,898,377		2,880,577

Long-term borrowings were secured by the following assets:

	As of December 31, 2016		As of September 30, 2017
Accounts receivable		67,433		107,819
Property and equipment, net		512,566		524,653
Prepaid land use rights, net		20,735		20,146

		600,734		652,618

Long-term loans of RMB9,500 and nil as of December 31, 2016 and September 30, 2017 are guaranteed by William Wei Huang.

The weighted average interest rates of long-term borrowings were 8.17% and 6.99% per annum for the nine-month periods ended September 30, 2016 and 2017, respectively.

The aggregate maturities of the long-term borrowings for each for the five years and thereafter subsequent to September 30, 2017 are as follows:

	Long-term borrowings
Twelve-months ending September 30,
2018		638,682
2019		736,847
2020		516,839
2021		731,461
2022		250,469
Thereafter		6,279

		2,880,577

As of September 30, 2017, the particulars of the total secured long-term loans and borrowings of RMB2,873,077, were as follows:


	i)	In 2009, a subsidiary of the Company entered into a thirteen-year entrusted credit facility for a principal amount of RMB322,000 with the local government through a third party bank. As of September 30, 2017, the outstanding loan under such credit facility was RMB167,279, and the effective interest rate of the loan was 4.90% per annum. The facility was secured by prepaid land use right with a carrying amount of RMB6,126 as of September 30, 2017.
	ii)	In 2014, a subsidiary of the Company entered into an entrusted credit facility of RMB200,000 with a third party lender through a third party bank. The Company fully repaid the outstanding loan in 2017.
	iii)	In 2015, a subsidiary of the Company entered into a loan facility of RMB120,000 with a third party bank. The Company fully repaid the outstanding loan in 2017.
	iv)	In 2015, a subsidiary of the Company entered into loan facilities with third party banks in the aggregate amount of RMB430,000. In 2016, such facility was extended to RMB530,000 pursuant to an amendment agreement. As of September 30, 2017, the outstanding loans under such credit facilities were RMB267,940 (net of debt issuance costs), and the effective interest rate of the loans was 7.84% per annum. The outstanding loans under such credit facilities are secured by accounts receivables and property and equipment with a carrying amount of RMB11,788 and RMB91,094 as of September 30, 2017, respectively. The outstanding loans contain a limit on the amount of capital expenditures to be incurred for the construction of the data centers and mature in 2020. The outstanding loans are required to be repaid in full prior to the maturity date in the event 1) Singapore Technologies Telemedia Limited of Singapore, the parent company of STT GDC Pte. Ltd. (a principal shareholder of the Company), ceases to own and control, directly or indirectly, at least 40% of the equity interest in the Company prior to an initial public offering (IPO) or 30% of the equity interest in the Company after an IPO, or ceases to be the single largest shareholder of the Company, (2) the Company ceases to own and control, directly or indirectly, 100% of the equity interest of the borrowing subsidiaries, (3) there are changes in the shareholding structure of a principal operating subsidiary, as defined in the loan agreements or (4) William Wei Huang, the founder, chairman and chief executive officer of the Company, ceases to own and control, directly or indirectly, at least 99.96% of the equity interest of GDS Beijing. The loan facilities contain financial covenants that limit certain financial ratios, such as the interest coverage ratio and gross leverage ratio, during the relevant period, as defined in the facilities. The loan facilities include a cross-default provision which would be triggered if the Company fails to repay any financial indebtedness of RMB30,000 or more when due or within any originally applicable grace period. As of September 30, 2017, the Company was in compliance with these covenants.
	v)	In September 2016, two subsidiaries of the Company entered into loan facilities with third party banks in a total amount of RMB1,135,000, for the purpose of (i) replacing an existing term loan facility agreement entered into in June 2016, and (ii) financing the subsidiaries' data center projects and working capital requirements. As of September 30, 2017, the outstanding loan under such facility was RMB998,323, consisting of a short term working capital loan of RMB41,871 with an effective interest rate of 5.66% per annum and long term loans of RMB956,452 (net of debt issuance costs) with effective interest rates of 7.02%-7.25% per annum. The outstanding loans under such facilities are secured by accounts receivables and property and equipment with a carrying amount of RMB51,850 and RMB100,721 as of September 30, 2017, respectively. The loans are required to be repaid in full prior to the maturity date in the event (i) STT Communications Ltd. ceases to, directly or indirectly, own at least 50.1% of equity interests of STT GDC Pte. Ltd. ("STT GDC"), (ii) STT GDC ceases to own and control, directly or indirectly, at least 40% of the equity interests in the Company prior to an IPO or 30% of the equity interests in the Company after an IPO, or ceases to be the single largest shareholder of the Company, (iii) the Company ceases to, directly or indirectly, own or control 100% of the borrowing subsidiary, (iv) there are changes in the shareholding structure of a principal operating subsidiary, as defined in the loan agreement or (v) William Wei Huang ceases to, directly or indirectly, own at least 99.9% of the equity interests of GDS Beijing ((i), (ii), (iii), (iv) and (v) are referred to as "the Early Repayment Events"). The loan facilities contain financial covenants that limit certain financial ratios, such as the interest coverage ratio and gross leverage ratio, during the relevant period, as defined in the facilities. In addition, the loan facility includes a cross default provision which would be triggered if the Company fails to repay any financial indebtedness in an aggregate amount of RMB50,000 or more when due or within any originally applicable grace period. The outstanding long-term loans mature in 2021. As of September 30, 2017, the Company was in compliance with these covenants.
	vi)	In September 2016, a subsidiary of the Company entered into a facility agreement with a third party bank for a total amount of RMB220,000. As of September 30, 2017, the outstanding loan under such facility was RMB188,848 (net of debt issuance costs), which was a long term loan with an effective interest rate of 7.29% per annum. The outstanding long-term loans mature in 2021. The outstanding loans under such facilities are secured by accounts receivable and property and equipment with a carrying value of RMB18,392 and RMB79,557 as of September 30, 2017, respectively. The loans are required to be repaid in full prior to the maturity date upon the occurrence of any of the Early Repayment Events. The loan facilities contain financial covenants that limit certain financial ratios, such as the interest coverage ratio and gross leverage ratio, during the relevant period, as defined in the facilities. In addition, the loan facility includes a cross default provision which would be triggered if the Company fails to repay any financial indebtedness in an aggregate amount of RMB50,000 or more when due or within any originally applicable grace period. As of September 30, 2017, the Company was in compliance with these covenants.
	vii)	In December 2016, a subsidiary of the Company entered into a facility agreement with third party banks, pursuant to which the bank agrees to make available to the subsidiary loan facilities in the total amount of RMB380,000 for repayment of borrower's outstanding loan and financing borrower's data center. As of September 30, 2017, the outstanding loan under such facility was RMB380,000 , which was a long-term loan with an effective interest rate of 8.01% per annum. The outstanding long-term loans mature in 2018. The outstanding loans under such facilities are secured by accounts receivable and property and equipment with a carrying value of RMB 19,727 and RMB 124,799 . The loans are required to be repaid in full prior to the maturity date upon the occurrence of any of the Early Repayment Events. The loan facilities contain financial covenants that limit certain financial ratios, such as the interest coverage ratio and gross leverage ratio, during the relevant period, as defined in the facilities. In addition, the loan facility includes a cross default provision which would be triggered if the borrower fails to repay any financial indebtedness in an aggregate amount of RMB30,000 or more when due or within any originally applicable grace period. As of September 30, 2017, the Company was in compliance with these covenants.
	viii)	In December 2016, a subsidiary of the Company entered into a facility agreement with third party banks for a total amount of RMB310,000. As of September 30, 2017, the outstanding loan under such facility was RMB246,668, consisting of a short term working capital loan of RMB5,985 with an effective interest rate of 5.66% per annum and long term loans of RMB240,683 (net of debt issuance costs) with an effective interest rate of 7.04% per annum. The outstanding long-term loans mature in 2021. The outstanding loans under such facilities are secured by accounts receivable, property and equipment and prepaid land use right with a carrying value of RMB3,217, RMB157,282 and RMB14,020 as of September 30, 2017, respectively. The loans are required to be repaid in full prior to the maturity date upon the occurrence of any of the Early Repayment Events. The loan facilities contain financial covenants that limit certain financial ratios, such as the interest coverage ratio and gross leverage ratio, during the relevant period, as defined in the facilities. In addition, the loan facility includes a cross default provision which would be triggered if the Company fails to repay any financial indebtedness in an aggregate amount of RMB50,000 or more when due or within any originally applicable grace period. As of September 30, 2017, the Company was in compliance with these covenants.
	ix)	In March 2017, two subsidiaries of the Company entered into a loan facility agreement with third party banks for a total amount of US$45,000. As of September 30, 2017, the outstanding loan under such agreement was RMB298,693 with an effective interest rate of 5.41% per annum. The facility, as amended, mature in April 2020. The loans are required to be repaid in full prior to the maturity date under certain conditions. The loan facilities contain financial covenants that limit certain financial ratios, such as the debt to equity ratio ("DER"), during the relevant period, as defined in the facilities. As of September 30, 2017, the Company was in compliance with these covenants.
	x)	In June 2017, a subsidiary of the Company entered into a project loan facility agreement with a third party bank for a total amount of RMB644,000. As of September 30, 2017, the outstanding loan under such facility was RMB383,378 (net of debt issuance costs), consisting of a short-term working capital loan of RMB10,196 with an effective interest rate of 6.30% per annum and a long-term loan of RMB373,182 (net of debt issuance costs) with an effective interest rate of 7.32%. The outstanding long-term loans mature in 2022. The loans are secured by account receivables and property and equipment with a carrying amount of RMB22,572 and RMB95,999 as of September 30, 2017, respectively. The loans are required to be repaid in full prior to the maturity date under certain conditions. The loan facility contains financial covenants that limit certain financial ratios, including debt service coverage ratio ("DSCR") gross leverage ratio, DER and capital expenditure, as defined in the facility agreement. In addition, the loan includes a cross default if the aggregate amount of Financial Indebtedness or commitment for Financial Indebtedness of any Obligor Party or any other member of the Company is more than RMB50,000. As of September 30, 2017, the Company was in compliance with these covenants.
	xi)	In September 2017, two subsidiaries of the Company entered into a five-year facility agreement with third party banks for a total amount of RMB570,000 for repayment of borrower's outstanding loans and financing borrower's data center located in Beijing. The interest rate agreed under the facility agreement is 130% of the People's Bank Of China ("PBOC") Base Rate (4.75% per annum for 3-5 years long-term loan) for the sub-facility of RMB200,000 and 6.3% for the sub-facility of RMB370,000 per annum. The loan, once drawn down, will be repaid by installments from 2019 to 2022. The securities for the loan include, among others, the subsidiaries' receivables and property and equipment. The loans are required to be repaid in full prior to the maturity date under certain conditions. The loan facility contains financial covenants that limit certain financial ratios, including DSCR, gross leverage ratio, DER and capital expenditure, as defined in the facility agreement. In addition, the loan facility includes a cross default provision which would be triggered if the Company fails to repay any financial indebtedness in an aggregate amount of RMB50,000 or more when due or within any originally applicable grace period. As of September 30, 2017, the Company has not drawn down any amount under such facility.

As of September 30, 2017, the particulars of unsecured long-term loans and borrowings are as follows:

In March 2017, a subsidiary of the Company entered into an agreement with a third party bank for a total amount of RMB9,000. As of September 30, 2017, the outstanding loan was RMB7,500, which is a long-term working capital loan mature in 2019 with an effective interest rate of 5.70% per annum.

As of September 30, 2017, the Company had total working capital and project financing credit facilities of RMB4,270,262 from various banks, of which the unused amount was RMB999,750. As of September 30, 2017, the Company had drawn down RMB3,270,512, of which RMB314,052 was recorded in short-term loans and borrowing and RMB2,880,577 (net of debt issuance costs of RMB75,883) was recorded in long-term loans and borrowing, respectively. Drawdowns from the credit facility are subject to the approval of the banks and are subject to the terms and conditions of each agreement.

LEASE

9 Months Ended

Sep. 30, 2017

LEASE

LEASE

10 LEASE

Capital lease and other financing obligations

The Company's capital lease and other financing obligations are summarized as follows:

	December 31, 2016									September 30, 2017
	Capital lease obligations			Other financing obligations			Total			Capital lease obligations			Other financing obligations			Total
Within 1 year		71,300			22,044			93,344			124,215			38,977			163,192
After 1 year but within 2 years		85,783			38,443			124,226			131,499			38,999			170,498
After 2 years but within 3 years		92,677			39,548			132,225			139,230			41,944			181,174
After 3 years but within 4 years		193,202			41,586			234,788			223,572			42,287			265,859
After 4 years but within 5 years		71,501			42,287			113,788			116,146			42,287			158,433
After 5 years		716,089			725,178			1,441,267			1,519,487			684,271			2,203,758

Total		1,230,552			909,086			2,139,638			2,254,149			888,765			3,142,914
Less total future interest		(552,060	)		(450,670	)		(1,002,730	)		(964,102	)		(426,956	)		(1,391,058	)
Less: estimated building costs		—			(25,356	)		(25,356	)		—			—			—

Present value of lease and other financing obligations		678,492			433,060			1,111,552			1,290,047			461,809			1,751,856


Including:
Current portion								88,593									38,594


Non-current portion								1,022,959									1,713,262

The Company's capital and build-to-suit leases expire at various dates ranging from 2020 to 2037. The weighted average effective interest rate of the Company's capital and build-to-suit leases was 8.14% and 7.53% for the nine-month periods ended September 30, 2016 and 2017, respectively.

During the nine months ended September 30, 2017, except for the capital leases acquired, the Company entered into the following capital lease arrangements:

Shanghai 5 Lease

In April 2017, the Company entered into a lease agreement for an existing building in Shanghai, China from a third party lessor (the "Shanghai 5 Lease"). Shanghai 5 Lease has a lease term of 20 years and 3 months from July 2017 to September 2037. The Company determined that the lease is a capital lease as the present value of the minimum lease payments exceeded 90% of the fair value of the leased property at the inception of the lease. Accordingly, on the lease commencement date, the Company recorded capital lease assets and capital lease obligations at an amount equal to the present value of the minimum lease payments of RMB87,206.

Beijing 2 Lease

In August 2017, the Company entered into an amendment agreement in respect of an existing lease of a building in Beijing, China, from a third-party lessor (the "Beijing 2 Lease"). Beijing 2 Lease was originally classified as an operating lease. As a result of the lease modification, the revised agreement was considered as a new lease pursuant to ASC 840-10-25 and was classified as a capital lease as the present value of minimum lease payments excessed 90% of the fair value of the leased assets. Accordingly, the Company recorded capital lease assets and capital lease obligations at an amount equal to the present value of the remaining minimum lease payments of RMB157,000.

Operating leases

The Company leases data centers, offices and other equipment that are classified as operating leases. The majority of the Company's operating leases expire at various dates though 2037.

Future minimum operating lease payments as of September 30, 2017 are summarized as follow:

Twelve-months ending September 30,
2018			131,683
2019			84,024
2020			80,381
2021			30,610
2022			26,670
Thereafter			282,990

Total			636,358

Rental expenses were approximately RMB92,438 and RMB120,116 for the nine-month periods ended September 30, 2016 and 2017, respectively. The Company did not sublease any of its operating leases for the periods presented.

OTHER LONG-TERM LIABILITIES

9 Months Ended

Sep. 30, 2017

OTHER LONG-TERM LIABILITIES

OTHER LONG-TERM LIABILITIES

11 OTHER LONG-TERM LIABILITIES

Other long-term liabilities consisted of the following:

	As of December 31, 2016		As of September 30, 2017
Consideration payable for the acquisition of a subsidiary (note 7)		—		183,562
Payables for purchase of property and equipment		37,126		170,818
Accrued interests		51,112		86,280
Deferred government grants		14,051		17,471
Others		9,417		23,341

		111,706		481,472

SHARE-BASED COMPENSATION

9 Months Ended

Sep. 30, 2017

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION

12 SHARE-BASED COMPENSATION

The Company adopted the 2014 Equity Incentive Plan ("the 2014 Plan") in July 2014 for the granting of share options to key employees, directors and external consultants in exchange for their services. The total number of shares, which may be issued under the 2014 Plan, is 29,240,000 shares.

The Company adopted the 2016 Equity Incentive Plan ("the 2016 Plan") in August 2016 for the granting of share options, stock appreciation rights and other stock-based award (collectively referred to as the "Awards") to key employees and directors. The maximum aggregate number of shares, which may be subject to Awards under the 2016 Plan, is 56,707,560.

A summary of the option activity is as follows:

	Number of options			Weighted average exercise price		Weighted average grant-date fair value per option
				(RMB)		(RMB)
Options outstanding at January 1, 2017		28,589,782			5.2		3.2
Granted		166,667			5.3		7.6
Exercised		(376,984	)		5.2		1.9
Forfeited		(19,000	)		5.2		1.9

Options outstanding at September 30, 2017		28,360,465			5.2		3.2


Options vested and expect to vest at September 30, 2017		28,360,465			5.2		3.2

The following table summarizes information with respect to stock options outstanding and stock options exercisable as of September 30, 2017:

	Number of options		Weighted average remaining contractual life		Weighted average exercise price
			(years)		(RMB)
Options outstanding and exercisable		28,360,465		2.5		5.2

As of December 31, 2016 and September 30, 2017, 600,000 and 433,333 forfeitable and unvested non-employee options, respectively, were treated as unissued for accounting purposes and were not included in the table above. As of September 30, 2017, there were no unvested employee stock options.

In July 2017, the Company granted 13,475,060 non-vested restricted shares to employees, officers and directors. The restricted share awards contained service and market conditions, or service and performance conditions which are tied to the financial performance of the Company. The value of the restricted shares is determined based on the fair value as of the acquisition date, on which all criteria for establishing the grant dates were satisfied. The value of restricted shares with service condition attached is recognized as compensation expense using the graded-vesting method. The value of the restricted shares with performance conditions attached is recognized as compensation expense using the graded-vesting method only when the achievement of performance conditions becomes probable.

In May and August 2017, the Company issued 396,800 fully vested restricted shares to its directors to settle a portion of their remuneration for services provided by the directors, which had been recorded in general and administrative expenses. The number of restricted shares issued was determined by the fair value of the restricted shares on the date of settlement and the share-settled portion of the liability of RMB2,913. Upon issuance of the shares to settle the obligation, equity is increased by the amount of the liability settled in shares and no additional share-based compensation expense was recorded.

A summary of the restricted share activity is as follows:

	Number of Shares			Weighted average grant-date fair value per share
				(RMB)
Unvested at January 1, 2017		12,910,080			6.0
Granted		13,871,860			5.2
Vested		(2,017,920	)		8.1
Forfeited		(186,800	)		7.2

Unvested at September 30, 2017		24,577,220			5.4

The fair value of the restricted shares granted is estimated on the date of grant using the Monte Carlo simulation model with the following assumptions used.

Grant date:		July 2017
Risk-free rate of return		1.29 - 1.63%
Volatility		20.43 - 21.48%
Expected dividend yield		—
Share price at grant date		US$1.191
		(RMB8.0)
Expected term		2 - 4 years

(1)	Volatility

Expected volatility is assumed based on the historical volatility of the Company's comparable companies in the period equal to the expected term of each grant.


(2)	Risk-free interest rate

Risk-free rate equal to the implied yield of zero-coupon United States Government Bond for a term equal to the remaining expected term.


(3)	Dividend yield

The dividend yield was estimated by the Company based on its expected dividend policy over the expected term of the restricted shares.

A summary of share-based compensation expenses for the nine-month periods ended September 30, 2016 and 2017 is as follows:

	Nine-month periods ended September 30,
	2016		2017
Costs of revenue		1,169		7,365
Selling and marketing expenses		5,159		12,779
General and administrative expenses		50,859		20,842
Research and development expenses		—		408

Total share-based compensation expenses		57,187		41,394

REVENUE

9 Months Ended

Sep. 30, 2017

REVENUE.

REVENUE

13 REVENUE

Net revenue consisted of the following:

	Nine-month periods ended September 30,
	2016		2017
Service revenue		703,284		1,098,197
Equipment sales		41,007		12,493

		744,291		1,110,690

During the nine-month period ended September 30, 2016, the Company had three customers, which generated over 10% of the Company's total revenues or RMB114,715, RMB105,909 and RMB72,626, respectively. During the nine-month period ended September 30, 2017, the Company had two customers, which generated over 10% of the Company's total revenues or RMB256,373 and RMB113,669, respectively.

START-UP COSTS	9 Months Ended
START-UP COSTS	Sep. 30, 2017
START-UP COSTS
START-UP COSTS	14 START-UP COSTS Pre-operating or start-up costs incurred prior to operating a new data center are expensed as incurred and consist primarily of rental costs of operating leases of buildings during the construction of leasehold improvements and other miscellaneous costs incurred prior to the operation of the data centers. Start-up costs amounted to RMB9,596 and RMB6,809 and were recorded in general and administrative expenses during the nine-month periods ended September 30, 2016 and 2017, respectively.

INCOME TAX	9 Months Ended
INCOME TAX	Sep. 30, 2017
INCOME TAX
INCOME TAX	15 INCOME TAX The income tax benefits for the nine-month periods ended September 30, 2016 and 2017 were RMB8,090 and RMB5,038, respectively. The Company's effective tax rates for the nine-month periods ended September 30, 2016 and 2017 were 3.8% and 2.3%, respectively.

LOSS PER ORDINARY SHARE

9 Months Ended

Sep. 30, 2017

LOSS PER ORDINARY SHARE

LOSS PER ORDINARY SHARE

16 LOSS PER ORDINARY SHARE

The computation of basic and diluted loss per share is as follows:

	Nine-month periods ended September 30,
	2016			2017
Net loss		(206,773	)		(210,357	)
Change in redemption value of redeemable preferred shares		(87,310	)		—
(Cumulative) Dividend on preferred shares(i)		(5,588	)		—

Net loss attributable to ordinary shareholders		(299,671	)		(210,357	)

Weighted average number of ordinary shares outstanding—basic and diluted		217,987,922			760,795,203
Loss per ordinary share—basic and diluted		(1.37	)		(0.28	)

Note (i):

Represents undeclared dividends on redeemable preferred shares that are cumulative and not included in the carrying amount of the redeemable preferred shares.

During the nine-month period ended September 30, 2017, the Company issued 20,000,000 ordinary shares to its share depository bank which have been and will continue to be used to settle stock option and restricted share awards upon their exercise. No consideration was received by the Company for this issuance of ordinary shares. These ordinary shares are legally issued and outstanding but are treated as escrowed shares for accounting purposes and, therefore, have been excluded from the computation of loss per ordinary share. Any ordinary shares not used in the settlement of stock option and restricted share awards will be returned to the Company.

The following securities were excluded from the computation of diluted loss per share as inclusion would have been anti-dilutive.

	Nine-month periods ended September 30,
	2016		2017
Share options/restricted shares		28,289,800		53,530,908
Convertible bonds payable		92,813,011		97,298,214
Redeemable preferred shares		349,087,677		—

Total		470,190,488		150,829,122

COMMITMENTS

9 Months Ended

Sep. 30, 2017

COMMITMENTS

COMMITMENTS

17 COMMITMENTS

(a) Capital commitments

Capital commitments outstanding at December 31, 2016 and September 30, 2017 not provided for in the financial statements were as follows:

	As of December 31, 2016		As of September 30, 2017
Contracted for		510,999		1,026,859

(b) Lease commitments

The Company's lease commitments are disclosed in note 10.

RELATED PARTY TRANSACTIONS	9 Months Ended
RELATED PARTY TRANSACTIONS	Sep. 30, 2017
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	18 RELATED PARTY TRANSACTIONS During the nine-month period ended September 30, 2017, the Company did not enter into any significant transactions with related parties.

SUBSEQUENT EVENTS	9 Months Ended
SUBSEQUENT EVENTS	Sep. 30, 2017
SUBSEQUENT EVENTS.
SUBSEQUENT EVENTS	19 SUBSEQUENT EVENTS (a) Acquisition of Guangzhou 2 On October 10, 2017, the Company consummated an acquisition of all equity interests in a target group from a third party for an aggregate purchase price of RMB233,984. The target group owns a data center in Guangzhou, China (Guangzhou 2). (b) Private Placement In October 2017, the Company issued 64,257,028 Class A ordinary shares to CyrusOne Inc., a third party investor, at the price of $1.55625 per share for a total consideration of US$100,000. (c) Conversion of Convertible Bonds due 2019 In November 2017, the bond holders of the Convertible Bonds due 2019, exercised the right to convert 100% of the principal amount of the bonds, together with the accrued interest thereon into 97,870,263 newly issued Class A ordinary shares at the conversion price of $1.675262 per ordinary share pursuant to the terms of the bonds. (d) New Project Loan Facilities and Financing Arrangement In October 2017, a subsidiary of the Company entered into a 42-month facility agreement with a third-party bank and fully drew down the loans under such facility of US$25,000 (RMB166,000) up to January 23, 2018, the date these condensed consolidated financial statements are issued. The effective interest rate of the loans is 5.6% (three-month LIBOR+4.25%) not taking into consideration of issuance cost. In November 2017, a subsidiary of the Company entered into a 5-year facility agreement with a third-party bank for RMB180,000, and drew down RMB175,782 under such facilities up to January 23, 2018. The loans bear an effective interest rate from 5.655% to 6.1750% not taking into consideration of issuance cost. In November 2017, a subsidiary of the Company entered into a 6-year facility agreement with a third-party bank for RMB428,000 for replacement of an existing loan and drew down RMB402,251 under such facility net of repayment up to January 23, 2018. The loans bear an effective interest rate of 6.37%. In December 2017, a subsidiary of the Company entered into a 7-year facility agreement with a third-party bank for RMB1,010,000 and drew down RMB845,000 under such facility up to January 23, 2018, with an effective interest rate of 7.35% not taking into consideration of issuance cost. The facility is for the purpose of i) repayment of an existing loan, ii) construction of the data center projects and iii) supplement of working capital. In November 2017, a subsidiary of the Company entered into a financing arrangement with a third-party financer, which was amended in December 2017. Under such arrangement, the subsidiary assigned certain existing and future receivables as security in exchange for a cash payment of RMB200,000 which had been received by the subsidiary as of January 23, 2018. The subsidiary is obligated to repay RMB200,000 together with an effective interest rate of 9.70% per annum within 5 years. In December 2017, a subsidiary of the Company entered into a 10-year facility agreement with a third-party bank for RMB100,000 and drew down RMB57,067 under such facility up to January 23, 2018. The loans bear an effective interest rate of 5.88% not taking into consideration of issuance cost.

PRINCIPLES OF CONSOLIDATION (Tables)

9 Months Ended

Sep. 30, 2017

PRINCIPLES OF CONSOLIDATION

Schedule of net revenue and net income, operating, investing and financing cash flows of VIEs

	Nine-month periods ended September 30,
	2016			2017
Net revenue		413,567			1,010,033
Net income (loss)		44,014			(9,024	)
Net cash provided by (used in) operating activities		59,018			(20,925	)
Net cash used in investing activities		(83,804	)		(65,437	)
Net cash provided by (used in) financing activities		277,018			(109,588	)

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

ACCOUNTS RECEIVABLES, NET (Tables)

9 Months Ended

Sep. 30, 2017

ACCOUNTS RECEIVABLES, NET

Schedule of accounts receivables, net

	As of December 31, 2016		As of September 30, 2017
Accounts receivables		198,851		306,308
Less: allowance for doubtful accounts		—		—

Accounts receivables, net		198,851		306,308

PROPERTY AND EQUIPMENT, NET (Tables)

9 Months Ended

Sep. 30, 2017

PROPERTY AND EQUIPMENT, NET.

Schedule of property and equipment

	As of December 31, 2016			As of September 30, 2017
At cost:
Buildings		1,652,641			2,227,168
Data center equipment		1,349,069			1,712,577
Leasehold improvement		1,202,979			1,700,203
Furniture and office equipment		31,270			35,331
Vehicles		3,199			3,397

		4,239,158			5,678,676
Less: Accumulated depreciation		(613,658	)		(857,006	)

		3,625,500			4,821,670
Construction in progress		697,391			1,547,160

Property and equipment, net		4,322,891			6,368,830

Schedule of property and equipment under capital lease and other financing arrangement

	As of December 31, 2016			As of September 30, 2017
At cost:
Buildings (note)		1,286,079			1,964,535
Data center equipment		26,375			12,718

		1,312,454			1,977,253
Less: Accumulated depreciation		(64,151	)		(114,827	)

		1,248,303			1,862,426


Note:	This item included those buildings under construction, of RMB313,721 and RMB419,177, respectively, as of December 31, 2016 and September 30, 2017.

Schedule of depreciation of property and equipment

	Nine-month periods ended September 30,
	2016		2017
Cost of revenue		142,553		239,581
General and administrative expenses		3,063		4,895
Research and development expenses		400		422

		146,016		244,898

Schedule of reconciliation of total interest costs to "interest expenses"

	Nine-month periods ended September 30,
	2016			2017
Total interest costs		228,636			312,574
Less: interest costs capitalized		(47,300	)		(38,191	)

Interest expenses		181,336			274,383

INTANGIBLE ASSETS, NET (Tables)

9 Months Ended

Sep. 30, 2017

INTANGIBLE ASSETS, NET

Schedule of intangible assets

	As of December 31, 2016			As of September 30, 2017
Customer relationships		104,322			280,822
Favorable lease		15,500			15,500
Others		—			6,000

		119,822			302,322
Less: accumulated amortization		(27,253	)		(43,093	)

Intangible assets, net		92,569			259,229

BUSINESS COMBINATION (Tables)

9 Months Ended

Sep. 30, 2017

BUSINESS COMBINATION

Schedule of the identifiable assets acquired and liabilities assumed in the business combination

	Note
Fair value of consideration	(i)	294,491
Effective settlement of pre-existing relationships upon consolidation	(ii)	6,025
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash		(11,153	)
Property and equipment	(iii)	(821,405	)
Identifiable intangible assets	(iv)	(176,500	)
Other assets		(59,520	)
Accounts payable		219,207
Capital lease and other financing obligations, current		23,156
Capital lease and other financing obligations, non-current		363,380
Long-term borrowings		217,790
Deferred tax liabilities		45,931
Other liabilities		55,299

Total identifiable net assets		(143,815	)

Goodwill	(v)	156,701

Note (i):		The fair value of consideration represents the present value of the purchase price of RMB312,000, of which RMB42,727 was paid up to September 30, 2017. As of September 30, 2017, total consideration payable for the acquisition was RMB254,677, of which RMB 71,115 and RMB183,562 were recorded in other payables and other long-term liabilities, respectively.
Note (ii):		Prior to the acquisition, the Company had other receivables from the target group of RMB6,025, which was effectively settled with the seller upon completion of the acquisition.
Note (iii):		Property and equipment acquired included properties and equipment acquired under capital lease and other financing arrangement of RMB416,000, data center equipment of RMB174,292, leasehold improvement of RMB118,368 and construction in progress of RMB112,745.
Note (iv):		Identifiable intangible assets acquired consisted of customer relationships of RMB176,500 with an estimated useful life of 14.4 years.
Note (v):		Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in the acquisition. Goodwill is assigned to the design, build-out and operation of data centers reporting unit. Goodwill primarily represents the expected synergies from combining operations of the target group with those of the Company and intangible assets that do not qualify for separate recognition and is not deductible for tax purposes. In accordance with ASC 350, goodwill is not amortized but is tested for impairment.

OTHER NON-CURRENT ASSETS (Tables)

9 Months Ended

Sep. 30, 2017

OTHER NON-CURRENT ASSETS

Schedule of other non-current assets

	As of December 31, 2016		As of September 30, 2017
Deposits for leases		62,985		100,291
Other deposits		15,000		15,500
Others		20,740		21,220

		98,725		137,011

LOANS AND BORROWINGS (Tables)

9 Months Ended

Sep. 30, 2017

LOANS AND BORROWINGS

Schedule of borrowings

	As of December 31, 2016		As of September 30, 2017
Short-term borrowings		239,777		314,052
Current portion of long-term borrowings		388,701		638,682

Sub-total		628,478		952,734

Long-term borrowings, excluding current portion		1,509,676		2,241,895

Total loans and borrowings		2,138,154		3,194,629

Schedule of short-term borrowings

	As of December 31, 2016		As of September 30, 2017
Unsecured short-term loans and borrowings		—		50,000
Secured short-term loans and borrowings		239,777		264,052

		239,777		314,052

Schedule of assets to secure the short-term borrowings

	As of December 31, 2016		As of September 30, 2017
Accounts receivable		19,914		12,998

Schedule of long-term borrowings

	As of December 31, 2016		As of September 30, 2017
Unsecured long-term loans and borrowings		—		7,500
Secured long-term loans and borrowings		1,898,377		2,873,077

		1,898,377		2,880,577

Schedule of assets to secure the long-term borrowings

	As of December 31, 2016		As of September 30, 2017
Accounts receivable		67,433		107,819
Property and equipment, net		512,566		524,653
Prepaid land use rights, net		20,735		20,146

		600,734		652,618

Schedule of aggregate maturities of the long-term borrowings

	Long-term borrowings
Twelve-months ending September 30,
2018		638,682
2019		736,847
2020		516,839
2021		731,461
2022		250,469
Thereafter		6,279

		2,880,577

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=75038535&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21521-112644

+ Details

LEASE (Tables)

9 Months Ended

Sep. 30, 2017

LEASE

Schedule of capital lease and other financing obligations

	December 31, 2016									September 30, 2017
	Capital lease obligations			Other financing obligations			Total			Capital lease obligations			Other financing obligations			Total
Within 1 year		71,300			22,044			93,344			124,215			38,977			163,192
After 1 year but within 2 years		85,783			38,443			124,226			131,499			38,999			170,498
After 2 years but within 3 years		92,677			39,548			132,225			139,230			41,944			181,174
After 3 years but within 4 years		193,202			41,586			234,788			223,572			42,287			265,859
After 4 years but within 5 years		71,501			42,287			113,788			116,146			42,287			158,433
After 5 years		716,089			725,178			1,441,267			1,519,487			684,271			2,203,758

Total		1,230,552			909,086			2,139,638			2,254,149			888,765			3,142,914
Less total future interest		(552,060	)		(450,670	)		(1,002,730	)		(964,102	)		(426,956	)		(1,391,058	)
Less: estimated building costs		—			(25,356	)		(25,356	)		—			—			—

Present value of lease and other financing obligations		678,492			433,060			1,111,552			1,290,047			461,809			1,751,856


Including:
Current portion								88,593									38,594


Non-current portion								1,022,959									1,713,262

Schedule of future minimum operating lease payments

Twelve-months ending September 30,
2018			131,683
2019			84,024
2020			80,381
2021			30,610
2022			26,670
Thereafter			282,990

Total			636,358

OTHER LONG-TERM LIABILITIES (Tables)

9 Months Ended

Sep. 30, 2017

OTHER LONG-TERM LIABILITIES

Schedule of other long-term liabilities

	As of December 31, 2016		As of September 30, 2017
Consideration payable for the acquisition of a subsidiary (note 7)		—		183,562
Payables for purchase of property and equipment		37,126		170,818
Accrued interests		51,112		86,280
Deferred government grants		14,051		17,471
Others		9,417		23,341

		111,706		481,472

SHARE-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 30, 2017

SHARE-BASED COMPENSATION

Summary of the option activity

	Number of options			Weighted average exercise price		Weighted average grant-date fair value per option
				(RMB)		(RMB)
Options outstanding at January 1, 2017		28,589,782			5.2		3.2
Granted		166,667			5.3		7.6
Exercised		(376,984	)		5.2		1.9
Forfeited		(19,000	)		5.2		1.9

Options outstanding at September 30, 2017		28,360,465			5.2		3.2


Options vested and expect to vest at September 30, 2017		28,360,465			5.2		3.2

Summary of information with respect to stock options outstanding and stock options exercisable

	Number of options		Weighted average remaining contractual life		Weighted average exercise price
			(years)		(RMB)
Options outstanding and exercisable		28,360,465		2.5		5.2

Summary of the restricted share activity

	Number of Shares			Weighted average grant-date fair value per share
				(RMB)
Unvested at January 1, 2017		12,910,080			6.0
Granted		13,871,860			5.2
Vested		(2,017,920	)		8.1
Forfeited		(186,800	)		7.2

Unvested at September 30, 2017		24,577,220			5.4

Assumptions used to estimate fair value of the restricted shares

Grant date:				July 2017
Risk-free rate of return				1.29 - 1.63%
Volatility				20.43 - 21.48%
Expected dividend yield				—
Share price at grant date				US$1.191
				(RMB8.0)
Expected term				2 - 4 years

Summary of share-based compensation expenses

	Nine-month periods ended September 30,
	2016		2017
Costs of revenue		1,169		7,365
Selling and marketing expenses		5,159		12,779
General and administrative expenses		50,859		20,842
Research and development expenses		—		408

Total share-based compensation expenses		57,187		41,394

REVENUE (Tables)

9 Months Ended

Sep. 30, 2017

REVENUE.

Schedule of net revenue

	Nine-month periods ended September 30,
	2016		2017
Service revenue		703,284		1,098,197
Equipment sales		41,007		12,493

		744,291		1,110,690

LOSS PER ORDINARY SHARE (Tables)

9 Months Ended

Sep. 30, 2017

LOSS PER ORDINARY SHARE

Schedule of computation of basic and diluted loss per share

	Nine-month periods ended September 30,
	2016			2017
Net loss		(206,773	)		(210,357	)
Change in redemption value of redeemable preferred shares		(87,310	)		—
(Cumulative) Dividend on preferred shares(i)		(5,588	)		—

Net loss attributable to ordinary shareholders		(299,671	)		(210,357	)

Weighted average number of ordinary shares outstanding—basic and diluted		217,987,922			760,795,203
Loss per ordinary share—basic and diluted		(1.37	)		(0.28	)

Note (i):

Represents undeclared dividends on redeemable preferred shares that are cumulative and not included in the carrying amount of the redeemable preferred shares.

Schedule of securities excluded from the computation of diluted loss per share

	Nine-month periods ended September 30,
	2016		2017
Share options/restricted shares		28,289,800		53,530,908
Convertible bonds payable		92,813,011		97,298,214
Redeemable preferred shares		349,087,677		—

Total		470,190,488		150,829,122

COMMITMENTS (Tables)

9 Months Ended

Sep. 30, 2017

COMMITMENTS

Schedule of capital commitments outstanding not provided for in the financial statements

	As of December 31, 2016		As of September 30, 2017
Contracted for		510,999		1,026,859

PRINCIPLES OF CONSOLIDATION (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Variable interest entity information
Net revenue	¥ 1,110,690	¥ 744,291
Net income (loss)	(210,357)	(206,773)
Net cash provided by (used in) operating activities	(161,056)	(122,570)
Net cash used in investing activities	(1,229,408)	(863,792)
Net cash provided by (used in) financing activities	805,108	847,322
VIEs
Variable interest entity information
Net revenue	1,010,033	413,567
Net income (loss)	(9,024)	44,014
Net cash provided by (used in) operating activities	(20,925)	59,018
Net cash used in investing activities	(65,437)	(83,804)
Net cash provided by (used in) financing activities	(109,588)	277,018
Costs for outsourcing and other services provided by other entities within the Company	¥ 548,902	¥ 189,715

ACCOUNTS RECEIVABLES, NET (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Accounts receivables, net
Accounts receivables	¥ 306,308	¥ 198,851
Accounts receivables, net	306,308	198,851
Unbilled accounts receivables	¥ 212,472	¥ 117,192

PROPERTY AND EQUIPMENT, NET (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Property and equipment
Property and equipment, gross	¥ 5,678,676	¥ 4,239,158
Less: Accumulated depreciation	(857,006)	(613,658)
Property and equipment net excluding construction in progress	4,821,670	3,625,500
Construction in progress	1,547,160	697,391
Property and equipment, net	6,368,830	4,322,891
Buildings
Property and equipment
Property and equipment, gross	2,227,168	1,652,641
Data center equipment
Property and equipment
Property and equipment, gross	1,712,577	1,349,069
Leasehold improvement
Property and equipment
Property and equipment, gross	1,700,203	1,202,979
Furniture and office equipment
Property and equipment
Property and equipment, gross	35,331	31,270
Vehicles
Property and equipment
Property and equipment, gross	¥ 3,397	¥ 3,199

PROPERTY AND EQUIPMENT, NET - Acquired under capital leases (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Capital lease assets
Capital leases assets, gross	¥ 1,977,253	¥ 1,312,454
Less: Accumulated depreciation	(114,827)	(64,151)
Capital leases assets, net	1,862,426	1,248,303
Buildings
Capital lease assets
Capital leases assets, gross	1,964,535	1,286,079
Asset under construction
Capital lease assets
Capital leases assets, gross	419,177	313,721
Data center equipment
Capital lease assets
Capital leases assets, gross	¥ 12,718	¥ 26,375

PROPERTY AND EQUIPMENT, NET - Depreciation (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Depreciation expense
Depreciation of property and equipment	¥ 244,898	¥ 146,016
Cost of revenue
Depreciation expense
Depreciation of property and equipment	239,581	142,553
General and administrative expenses
Depreciation expense
Depreciation of property and equipment	4,895	3,063
Research and development expenses
Depreciation expense
Depreciation of property and equipment	¥ 422	¥ 400

PROPERTY AND EQUIPMENT, NET - Interest costs (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Interest costs
Total interest costs	¥ 312,574	¥ 228,636
Less: interest costs capitalized	(38,191)	(47,300)
Interest expenses	¥ 274,383	¥ 181,336

INTANGIBLE ASSETS, NET (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
INTANGIBLE ASSETS, NET (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Intangible assets
Intangible assets, gross	¥ 302,322		¥ 119,822
Less: accumulated amortization	(43,093)		(27,253)
Intangible assets, net	259,229		92,569
Amortization of intangible assets	15,840	¥ 10,070
Customer relationships
Intangible assets
Intangible assets, gross	280,822		104,322
Favorable lease
Intangible assets
Intangible assets, gross	15,500		¥ 15,500
Others
Intangible assets
Intangible assets, gross	¥ 6,000

BUSINESS COMBINATION (Details) - CNY (¥) ¥ in Thousands				3 Months Ended	9 Months Ended
BUSINESS COMBINATION (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Jun. 29, 2017	Jun. 28, 2017	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Recognized amounts of identifiable assets acquired and liabilities assumed:
Goodwill	¥ 1,497,788			¥ 1,497,788	¥ 1,497,788		¥ 1,341,087
Net revenue					1,110,690	¥ 744,291
Net loss					210,357	¥ 206,773
Target Group
The identifiable assets acquired and liabilities assumed in the business combination
Contingent consideration	254,677	¥ 312,000		254,677	254,677
Contingent consideration paid	42,727				42,727
Fair value of consideration		294,491
Effective settlement of pre-existing relationships upon consolidation		6,025
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash		(11,153)
Property and equipment		(821,405)
Identifiable intangible assets		(176,500)
Other assets		(59,520)
Accounts payable		219,207
Capital lease and other financing obligations, current		23,156
Capital lease and other financing obligations, non-current		363,380
Long-term borrowings		217,790
Deferred tax liabilities		45,931
Other liabilities		55,299
Total identifiable net assets		(143,815)
Goodwill		156,701
Net revenue				18,984
Net loss				10,029
Target Group \| Capital lease
Recognized amounts of identifiable assets acquired and liabilities assumed:
Property and equipment		(416,000)
Target Group \| Data center equipment
Recognized amounts of identifiable assets acquired and liabilities assumed:
Property and equipment		(174,292)
Target Group \| Leasehold improvement
Recognized amounts of identifiable assets acquired and liabilities assumed:
Property and equipment		(118,368)
Target Group \| Construction in progress
Recognized amounts of identifiable assets acquired and liabilities assumed:
Property and equipment		(112,745)
Other payables \| Target Group
The identifiable assets acquired and liabilities assumed in the business combination
Contingent consideration	71,115			71,115	71,115
Other long-term liabilities \| Target Group
The identifiable assets acquired and liabilities assumed in the business combination
Contingent consideration	¥ 183,562			¥ 183,562	¥ 183,562
Consolidation eliminations \| Target Group
The identifiable assets acquired and liabilities assumed in the business combination
Effective settlement of pre-existing relationships upon consolidation			¥ 6,025
Customer relationships \| Target Group
Recognized amounts of identifiable assets acquired and liabilities assumed:
Identifiable intangible assets		¥ (176,500)
Estimated useful life (in years)		14 years 4 months 24 days

OTHER NON-CURRENT ASSETS (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
OTHER NON-CURRENT ASSETS
Deposits for leases	¥ 100,291	¥ 62,985
Other deposits	15,500	15,000
Others	21,220	20,740
Total other non-current assets	¥ 137,011	¥ 98,725

LOANS AND BORROWINGS - Borrowings (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Borrowings
Short-term borrowings	¥ 314,052	¥ 239,777
Current portion of long-term borrowings	638,682	388,701
Sub-total	952,734	628,478
Long-term borrowings, excluding current portion	2,241,895	1,509,676
Total loans and borrowings	¥ 3,194,629	¥ 2,138,154

LOANS AND BORROWINGS - Short-term borrowings (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Short-term borrowings
Unsecured short-term loans and borrowings	¥ 50,000
Secured short-term loans and borrowings	264,052	¥ 239,777
Short-term borrowings	¥ 314,052	¥ 239,777

LOANS AND BORROWINGS - Short-term borrowings secured (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016	Sep. 30, 2016
Short-term borrowings
Weighted average interest rates of short-term borrowings	5.39%		5.36%
Accounts receivable
Short-term borrowings
Assets to secure short-term loans and borrowings	¥ 12,998	¥ 19,914

LOANS AND BORROWINGS - Long-term borrowings (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Long-term borrowings
Unsecured long-term loans and borrowings	¥ 7,500
Secured long-term loans and borrowings	2,873,077	¥ 1,898,377
Long-term borrowings	¥ 2,880,577	¥ 1,898,377

LOANS AND BORROWINGS - Long-term borrowings secured (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016	Sep. 30, 2016
Long-term borrowings
Assets to secure long-term loans and borrowings	¥ 652,618	¥ 600,734
Long-term loans guaranteed by William Wei Huang, Director and CEO of the Company	¥ 0	9,500
Weighted average interest rates of long-term borrowings	6.99%		8.17%
Accounts receivable
Long-term borrowings
Assets to secure long-term loans and borrowings	¥ 107,819	67,433
Property and equipment, net
Long-term borrowings
Assets to secure long-term loans and borrowings	524,653	512,566
Prepaid land use rights, net
Long-term borrowings
Assets to secure long-term loans and borrowings	¥ 20,146	¥ 20,735

LOANS AND BORROWINGS - Aggregate maturities (Details) ¥ in Thousands	Sep. 30, 2017 CNY (¥)
Twelve-months ending September 30,
2018	¥ 638,682
2019	736,847
2020	516,839
2021	731,461
2022	250,469
Thereafter	6,279
Long-term borrowings	¥ 2,880,577

LOANS AND BORROWINGS - Particulars of secured long-term loans and borrowings (Details) ¥ in Thousands, $ in Thousands	1 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2017 USD ($) subsidiary	Sep. 30, 2017 USD ($) subsidiary	Dec. 31, 2009 CNY (¥)	Sep. 30, 2017 CNY (¥) subsidiary	Jun. 30, 2017 CNY (¥)	Mar. 31, 2017 USD ($) subsidiary	Dec. 31, 2016 CNY (¥)	Sep. 30, 2016 CNY (¥) subsidiary	Dec. 31, 2015 CNY (¥)	Dec. 31, 2014 CNY (¥)
Secured long-term loans and borrowings
Secured long-term loans and borrowings				¥ 2,873,077			¥ 1,898,377
Outstanding short-term borrowings				314,052			239,777
Long-term loans guaranteed by William Wei Huang, Director and CEO of the Company				0			9,500
Subsidiary A \| Entrusted credit facility with the local government
Secured long-term loans and borrowings
Term of loan			13 years
Principal amount of credit facility			¥ 322,000
Outstanding loan under credit facility				¥ 167,279
Effective interest rate (as a percent)	4.90%	4.90%		4.90%
Subsidiary A \| Entrusted credit facility with the local government \| Prepaid land use rights, net
Secured long-term loans and borrowings
Assets pledged				¥ 6,126
Subsidiary B \| Credit facility with a third party bank
Secured long-term loans and borrowings
Principal amount of credit facility										¥ 200,000
Subsidiary C \| Loan facilities with third party banks
Secured long-term loans and borrowings
Principal amount of credit facility									¥ 120,000
Two Subsidiaries, B \| Loan facilities with third party banks
Secured long-term loans and borrowings
Number of subsidiaries entered into loan facilities \| subsidiary								2
Principal amount of credit facility								¥ 1,135,000
Outstanding loan under credit facility				998,323
Early repayment if STT Communications Ltd. ceases to directly or indirectly own, the percentage of equity interests of STT GDC Pte. Ltd.								50.10%
Early repayment if STT GDC PTe. Ltd. ceases to own and control, the percentage of equity interest in the Company prior to an initial public offering (IPO)								40.00%
Early repayment if STT GDC PTe. Ltd. ceases to own and control, the percentage of equity interest in the Company after an initial public offering (IPO)								30.00%
Early repayment if cease to own and control percentage of the equity interest in the borrowing subsidiaries								100.00%
Amount to be early repaid								¥ 50,000
Two Subsidiaries, B \| Loan facilities with third party banks \| William Wei Huang, Director and CEO of the Company
Secured long-term loans and borrowings
Early repayment if cease to own and control percentage of the equity interest in GDS Beijing								99.90%
Two Subsidiaries, B \| Loan facilities with third party banks \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged				51,850
Two Subsidiaries, B \| Loan facilities with third party banks \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged				100,721
Two Subsidiaries, B \| Short term working capital loan
Secured long-term loans and borrowings
Outstanding short-term borrowings				¥ 41,871
Effective interest rate (as a percent)	5.66%	5.66%		5.66%
Two Subsidiaries, B \| Long term loans
Secured long-term loans and borrowings
Outstanding loan under credit facility				¥ 956,452
Two Subsidiaries, B \| Long term loans \| Minimum
Secured long-term loans and borrowings
Effective interest rate (as a percent)	7.02%	7.02%		7.02%
Two Subsidiaries, B \| Long term loans \| Maximum
Secured long-term loans and borrowings
Effective interest rate (as a percent)	7.25%	7.25%		7.25%
Two Subsidiaries, I \| Loan facilities with third party banks
Secured long-term loans and borrowings
Number of subsidiaries entered into loan facilities \| subsidiary						2
Principal amount of credit facility \| $						$ 45,000
Outstanding loan under credit facility				¥ 298,693
Effective interest rate (as a percent)						5.41%
Two Subsidiaries, H \| Facility agreement with a third party bank
Secured long-term loans and borrowings
Term of loan	5 years
Number of subsidiaries entered into loan facilities \| subsidiary	2	2		2
Principal amount of credit facility				¥ 570,000
Amount to be early repaid				50,000
Two Subsidiaries, H \| Facility agreement with a third party bank \| People's Bank Of China ("PBOC") Base Rate
Secured long-term loans and borrowings
Interest rate spread		130.00%
Two Subsidiaries, H \| Facility Agreement with third party bank sub facility one
Secured long-term loans and borrowings
Principal amount of credit facility				200,000
Two Subsidiaries, H \| Facility Agreement with third party bank sub facility one \| Minimum
Secured long-term loans and borrowings
Term of loan		3 years
Two Subsidiaries, H \| Facility Agreement with third party bank sub facility one \| Maximum
Secured long-term loans and borrowings
Term of loan		5 years
Two Subsidiaries, H \| Facility Agreement with third party bank sub facility one \| People's Bank Of China ("PBOC") Base Rate
Secured long-term loans and borrowings
People's Bank of China Base Rate (as a percent)		4.75%
Two Subsidiaries, H \| Facility Agreement with third party bank sub facility two
Secured long-term loans and borrowings
Principal amount of credit facility				370,000
People's Bank of China Base Rate (as a percent)		6.30%
Subsidiary D \| Loan facilities with third party banks
Secured long-term loans and borrowings
Principal amount of credit facility							¥ 530,000		¥ 430,000
Outstanding loan under credit facility				¥ 267,940
Effective interest rate (as a percent)	7.84%	7.84%		7.84%
Early repayment if Singapore Technologies Telemedia Limited of Singapore ceases to own and control, the percentage of equity interest in the Company prior to an initial public offering (IPO)							40.00%
Early repayment if Singapore Technologies Telemedia Limited of Singapore ceases to own and control, the percentage of equity interest in the Company after an initial public offering (IPO)							30.00%
Early repayment if cease to own and control percentage of the equity interest in the borrowing subsidiaries							100.00%
Amount to be early repaid							¥ 30,000
Subsidiary D \| Loan facilities with third party banks \| William Wei Huang, Director and CEO of the Company
Secured long-term loans and borrowings
Early repayment if cease to own and control percentage of the equity interest in GDS Beijing							99.96%
Subsidiary D \| Loan facilities with third party banks \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged				¥ 11,788
Subsidiary D \| Loan facilities with third party banks \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged				91,094
Subsidiary E \| Long term loans
Secured long-term loans and borrowings
Outstanding loan under credit facility				188,848
Subsidiary E \| Facility agreement with a third party bank
Secured long-term loans and borrowings
Principal amount of credit facility								¥ 220,000
Amount to be early repaid								¥ 50,000
Subsidiary E \| Facility agreement with a third party bank \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged				18,392
Subsidiary E \| Facility agreement with a third party bank \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged				¥ 79,557
Subsidiary E \| Long term loans
Secured long-term loans and borrowings
Effective interest rate (as a percent)	7.29%	7.29%		7.29%
Subsidiary F \| Facility agreement with a third party bank
Secured long-term loans and borrowings
Principal amount of credit facility							¥ 380,000
Outstanding loan under credit facility				¥ 380,000
Effective interest rate (as a percent)	8.01%	8.01%		8.01%
Amount to be early repaid							30,000
Subsidiary F \| Facility agreement with a third party bank \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged				¥ 19,727
Subsidiary F \| Facility agreement with a third party bank \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged				124,799
Subsidiary G \| Facility agreement with a third party bank
Secured long-term loans and borrowings
Principal amount of credit facility							310,000
Outstanding loan under credit facility				246,668
Amount to be early repaid							¥ 50,000
Subsidiary G \| Facility agreement with a third party bank \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged				3,217
Subsidiary G \| Facility agreement with a third party bank \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged				157,282
Subsidiary G \| Facility agreement with a third party bank \| Prepaid land use rights, net
Secured long-term loans and borrowings
Assets pledged				14,020
Subsidiary G \| Short term working capital loan
Secured long-term loans and borrowings
Outstanding loan under credit facility				¥ 5,985
Effective interest rate (as a percent)	5.66%	5.66%		5.66%
Subsidiary G \| Long term loans
Secured long-term loans and borrowings
Outstanding loan under credit facility				¥ 240,683
Effective interest rate (as a percent)	7.04%	7.04%		7.04%
Subsidiary H \| Short term working capital loan
Secured long-term loans and borrowings
Outstanding loan under credit facility				¥ 10,196
Effective interest rate (as a percent)	6.30%	6.30%		6.30%
Subsidiary H \| Long term loans
Secured long-term loans and borrowings
Outstanding loan under credit facility				¥ 373,182
Effective interest rate (as a percent)	7.32%	7.32%		7.32%
Subsidiary H \| Project loan facility agreement with a third party bank
Secured long-term loans and borrowings
Principal amount of credit facility					¥ 644,000
Outstanding loan under credit facility				¥ 383,378
Amount to be early repaid				¥ 50,000
Subsidiary H \| Project loan facility agreement with a third party bank \| Accounts receivable
Secured long-term loans and borrowings
Assets pledged \| $	$ 22,572	$ 22,572
Subsidiary H \| Project loan facility agreement with a third party bank \| Property and equipment, net
Secured long-term loans and borrowings
Assets pledged \| $	$ 95,999	$ 95,999

LOANS AND BORROWINGS - Particulars of unsecured long-term loans and borrowings (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Mar. 31, 2017
Unsecured long-term loans and borrowings
Outstanding loan under credit facility	¥ 7,500
Unsecured Debt
Unsecured long-term loans and borrowings
Principal amount of credit facility		¥ 9,000
Outstanding loan under credit facility	¥ 7,500
Effective interest rate (as a percent)	5.70%

LOANS AND BORROWINGS - Total working capital and project financing credit facilities (Details) - Credit Facilities ¥ in Thousands	9 Months Ended
	Sep. 30, 2017 CNY (¥)
Loans and borrowings
Total working capital and project financing credit facilities	¥ 4,270,262
Unused amount	999,750
Loan drew down	3,270,512
Debt issuance costs	75,883
Short-term loans and borrowing
Loans and borrowings
Outstanding loan under credit facility	314,052
Long-term loans and borrowing
Loans and borrowings
Outstanding loan under credit facility	¥ 2,880,577

- Definition

The carrying value as of the balance sheet date of the current and noncurrent portions of long-term obligations drawn from a line of credit, which is a bank's commitment to make loans up to a specific amount. Examples of items that might be included in the application of this element may consist of letters of credit, standby letters of credit, and revolving credit arrangements, under which borrowings can be made up to a maximum amount as of any point in time conditional on satisfaction of specified terms before, as of and after the date of drawdowns on the line. Includes short-term obligations that would normally be classified as current liabilities but for which (a) postbalance sheet date issuance of a long term obligation to refinance the short term obligation on a long term basis, or (b) the enterprise has entered into a financing agreement that clearly permits the enterprise to refinance the short-term obligation on a long term basis and the following conditions are met (1) the agreement does not expire within 1 year and is not cancelable by the lender except for violation of an objectively determinable provision, (2) no violation exists at the BS date, and (3) the lender has entered into the financing agreement is expected to be financially capable of honoring the agreement.

+ References + Details

LEASE - Capital lease and other financing obligations (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016	Sep. 30, 2016
Capital lease obligations
Within 1 year	¥ 124,215	¥ 71,300
After 1 year but within 2 years	131,499	85,783
After 2 years but within 3 years	139,230	92,677
After 3 years but within 4 years	223,572	193,202
After 4 years but within 5 years	116,146	71,501
After 5 years	1,519,487	716,089
Total minimum lease payments	2,254,149	1,230,552
Less: total future interest	(964,102)	(552,060)
Present value of capital lease obligations	1,290,047	678,492
Other financing obligations
Within 1 year	38,977	22,044
After 1 year but within 2 years	38,999	38,443
After 2 years but within 3 years	41,944	39,548
After 3 years but within 4 years	42,287	41,586
After 4 years but within 5 years	42,287	42,287
After 5 years	684,271	725,178
Total other financing obligations	888,765	909,086
Less: total future interest	(426,956)	(450,670)
Less: estimated building costs		(25,356)
Present value of other financing obligations	461,809	433,060
Total
Within 1 year	163,192	93,344
After 1 year but within 2 years	170,498	124,226
After 2 years but within 3 years	181,174	132,225
After 3 years but within 4 years	265,859	234,788
After 4 years but within 5 years	158,433	113,788
After 5 years	2,203,758	1,441,267
Total	3,142,914	2,139,638
Less: total future interest	(1,391,058)	(1,002,730)
Less: estimated building costs		(25,356)
Present value of total obligations	1,751,856	1,111,552
Including:
Current Portion	38,594	88,593
Non-current portion	¥ 1,713,262	¥ 1,022,959
Weighted average effective interest rate of capital and build-to-suit leases (as a percent)	7.53%		8.14%

LEASE - Capital lease agreements (Details) - CNY (¥) ¥ in Thousands	1 Months Ended
	Jul. 31, 2017	Sep. 30, 2017	Aug. 01, 2017	Jul. 01, 2017	Dec. 31, 2016
Capital leases
Capital lease assets		¥ 1,862,426			¥ 1,248,303
Present value of minimum lease payments		¥ 1,290,047			¥ 678,492
Shanghai 5 Lease
Capital leases
Term of capital lease	20 years 3 months
Capital lease assets				¥ 87,206
Capital lease obligations				87,206
Present value of minimum lease payments				¥ 87,206
Beijing 2 Lease
Capital leases
Capital lease assets			¥ 157,000
Capital lease obligations			157,000
Present value of minimum lease payments			¥ 157,000

LEASE - Operating leases (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
LEASE - Operating leases (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Sep. 30, 2016
Future minimum operating lease payments
2018	¥ 131,683
2019	84,024
2020	80,381
2021	30,610
2022	26,670
Thereafter	282,990
Total	636,358
Rental expenses	¥ 120,116	¥ 92,438

OTHER LONG-TERM LIABILITIES (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Other long-term liabilities
Consideration payable for the acquisition of a subsidiary (note 7)	¥ 183,562
Payables for purchase of property and equipment	170,818	¥ 37,126
Accrued interests	86,280	51,112
Deferred government grants	17,471	14,051
Others	23,341	9,417
Total other long-term liabilities	¥ 481,472	¥ 111,706

SHARE-BASED COMPENSATION - Plans (Details) - shares	Aug. 31, 2016	Jul. 31, 2014
The 2014 Plan
SHARE-BASED COMPENSATION
Total number shares which may be issued		29,240,000
The 2016 Plan
SHARE-BASED COMPENSATION
Total number shares which may be issued	56,707,560

SHARE-BASED COMPENSATION - Option activity (Details) - ¥ / shares	9 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Number of options
Options outstanding at January 1, 2017 (in shares)	28,589,782
Granted (in shares)	166,667
Exercise of share options (in shares)	(376,984)
Forfeited (in shares)	(19,000)
Options outstanding at September 30, 2017 (in shares)	28,360,465
Weighted average exercise price
Options outstanding at January 1, 2017 (in RMB per share)	¥ 5.2
Granted (in RMB per share)	5.3
Exercised (in RMB per share)	5.2
Forfeited (in RMB per share)	5.2
Options outstanding at September 30, 2017 (in RMB per share)	5.2
Weighted average grant-date fair value per option
Options outstanding at January 1, 2017 (in RMB per share)	3.2
Granted (in RMB per share)	7.6
Exercised (in RMB per share)	1.9
Forfeited (in RMB per share)	1.9
Options outstanding at September 30, 2017 (in shares)	¥ 3.2
Options vested and expect to vest
Number of options	28,360,465
Weighted average exercise price (in RMB per share)	¥ 5.2
Weighted average grant-date fair value per option (in RMB per share)	¥ 3.2
Stock options outstanding and stock options exercisable
Number of shares	28,360,465
Weighted average remaining contractual life (years)	2 years 6 months
Weighted average exercise price (in RMB per share)	¥ 5.2
Employee stock options
Other disclosures
Forfeitable and unvested (in shares)	0
Non-employee options
Other disclosures
Forfeitable and unvested (in shares)	433,333	600,000

SHARE-BASED COMPENSATION - Restricted share activity (Details) - CNY (¥) ¥ / shares in Units, ¥ in Thousands	1 Months Ended	4 Months Ended	9 Months Ended
	Jul. 31, 2017	Aug. 31, 2017	Sep. 30, 2017
SHARE-BASED COMPENSATION
Settlement of liability-classified restricted shares award			¥ 2,913
Directors
SHARE-BASED COMPENSATION
Settlement of liability-classified restricted shares award (in shares)		396,800
Settlement of liability-classified restricted shares award		¥ 2,913
Restricted shares
Number of Shares
Unvested at January 1, 2017 (in shares)			12,910,080
Granted (in shares)			13,871,860
Vested (in shares)			(2,017,920)
Forfeited (in shares)			(186,800)
Unvested at September 30, 2017 (in shares)			24,577,220
Weighted average grant-date fair value per share
Unvested at January 1, 2017 (in RMB per share)			¥ 6.0
Granted (in RMB per share)			5.2
Vested (in RMB per share)			8.1
Forfeited (in RMB per share)			7.2
Unvested at September 30, 2017 (in RMB per share)			¥ 5.4
Restricted shares \| Employees, officers and directors
Number of Shares
Granted (in shares)	13,475,060

SHARE-BASED COMPENSATION - Fair value assumptions - Restricted shares (Details) - 1 months ended Jul. 31, 2017 - Restricted shares	$ / shares	¥ / shares
Fair value assumptions
Share price at grant date \| (per share)	$ 1.191	¥ 8.00
Minimum
Fair value assumptions
Risk-free rate of return (as a percent)	1.29%
Volatility (as a percent)	20.43%
Expected term	2 years
Maximum
Fair value assumptions
Risk-free rate of return (as a percent)	1.63%
Volatility (as a percent)	21.48%
Expected term	4 years

SHARE-BASED COMPENSATION - Share-based compensation expenses (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
SHARE-BASED COMPENSATION
Compensation expense	¥ 41,394	¥ 57,187
Cost of revenue
SHARE-BASED COMPENSATION
Compensation expense	7,365	1,169
Selling and marketing expenses
SHARE-BASED COMPENSATION
Compensation expense	12,779	5,159
General and administrative expenses
SHARE-BASED COMPENSATION
Compensation expense	20,842	¥ 50,859
Research and development expenses
SHARE-BASED COMPENSATION
Compensation expense	¥ 408

REVENUE (Details) ¥ in Thousands	9 Months Ended
REVENUE (Details) ¥ in Thousands	Sep. 30, 2017 CNY (¥) customer	Sep. 30, 2016 CNY (¥) customer
Net revenue
Service revenue	¥ 1,098,197	¥ 703,284
Equipment sales	12,493	41,007
Net revenue	¥ 1,110,690	¥ 744,291
Revenue \| Customer concentration
Net revenue
Number of customers generated over 10% of the Company's total revenues \| customer	2	3
Revenue \| Customer concentration \| Customer One
Net revenue
Net revenue	¥ 256,373	¥ 114,715
Revenue \| Customer concentration \| Customer Two
Net revenue
Net revenue	¥ 113,669	105,909
Revenue \| Customer concentration \| Customer Three
Net revenue
Net revenue		¥ 72,626

START-UP COSTS (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
START-UP COSTS (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Sep. 30, 2016
General and administrative expenses
Start-up costs incurred prior to operating a new data center	¥ 6,809	¥ 9,596

INCOME TAX (Details) - CNY (¥) ¥ in Thousands	9 Months Ended
INCOME TAX (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Sep. 30, 2016
INCOME TAX
Income tax benefits	¥ 5,038	¥ 8,090
Effective tax rate (as a percent)	2.30%	3.80%

LOSS PER ORDINARY SHARE - Computation of basic and diluted loss per share (Details) - CNY (¥) ¥ / shares in Units, ¥ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Computation of basic and diluted loss per share
Net loss	¥ (210,357)	¥ (206,773)
Change in redemption value of redeemable preferred shares		(87,310)
(Cumulative) Dividend on preferred shares		(5,588)
Net loss attributable to ordinary shareholders	¥ (210,357)	¥ (299,671)
Weighted average number of ordinary shares outstanding-basic and diluted	760,795,203	217,987,922
Loss per ordinary share - basic and diluted	¥ (0.28)	¥ (1.37)
Ordinary Shares
Computation of basic and diluted loss per share
Shares issued to depository bank (in shares)	20,000,000
Consideration received for the issuance of ordinary shares	¥ 0

LOSS PER ORDINARY SHARE - Excluded from the computation of diluted loss per share (Details) - shares	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Antidilutive securities excluded from computation of earnings per share
Total	150,829,122	470,190,488
Share options/restricted shares
Antidilutive securities excluded from computation of earnings per share
Total	53,530,908	28,289,800
Convertible bonds payable
Antidilutive securities excluded from computation of earnings per share
Total	97,298,214	92,813,011
Redeemable preferred shares
Antidilutive securities excluded from computation of earnings per share
Total		349,087,677

COMMITMENTS (Details) - CNY (¥) ¥ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Capital commitments
COMMITMENTS
Capital commitments outstanding not provided for in the financial statements, Contracted for	¥ 1,026,859	¥ 510,999

SUBSEQUENT EVENTS (Details) - Subsequent Events $ / shares in Units, ¥ in Thousands, $ in Thousands		1 Months Ended			2 Months Ended	3 Months Ended	4 Months Ended
	Oct. 10, 2017 CNY (¥)	Dec. 31, 2017 CNY (¥)	Nov. 30, 2017 $ / shares shares	Oct. 31, 2017 USD ($) $ / shares shares	Jan. 23, 2018 CNY (¥)	Jan. 23, 2018 CNY (¥)	Jan. 23, 2018 USD ($)	Jan. 23, 2018 CNY (¥)	Nov. 30, 2017 CNY (¥)
Convertible Bonds due 2019
Conversion of Convertible Bonds due 2019
Maximum principal amount convertible to ordinary shares									100.00%
Class A ordinary shares \| Convertible Bonds due 2019
Conversion of Convertible Bonds due 2019
Number of shares issued on conversion (in shares) \| shares			97,870,263
Conversion price (in USD/share) \| $ / shares			$ 1.675262
Data center project in Guangzhou, China (Guangzhou 2)
Merger and acquisition
Aggregate purchase price	¥ 233,984
CyrusOne Inc., \| Private Placement \| Class A ordinary shares
Private Placement
Number of shares issued (in shares) \| shares				64,257,028
Price per share (in USD/share) \| $ / shares				$ 1.55625
Total consideration received \| $				$ 100,000
Subsidiary I \| Facility agreement with a third party bank
New Project Loan Facilities and Financing Arrangement
Term of loan				42 months
Loan drew down							$ 25,000	¥ 166,000
Effective interest rate (as a percent)				5.60%
Subsidiary I \| Facility agreement with a third party bank \| LIBOR
New Project Loan Facilities and Financing Arrangement
Variable interest rate				three-month LIBOR
Interest rate spread				4.25%
Subsidiary J \| Facility agreement with a third party bank
New Project Loan Facilities and Financing Arrangement
Term of loan			5 years
Loan drew down						¥ 175,782
Principal amount of credit facility									¥ 180,000
Subsidiary J \| Facility agreement with a third party bank \| Minimum
New Project Loan Facilities and Financing Arrangement
Effective interest rate (as a percent)									5.655%
Subsidiary J \| Facility agreement with a third party bank \| Maximum
New Project Loan Facilities and Financing Arrangement
Effective interest rate (as a percent)									6.175%
Subsidiary K \| Facility agreement with a third party bank
New Project Loan Facilities and Financing Arrangement
Term of loan			6 years
Loan drew down						¥ 402,251
Principal amount of credit facility									¥ 428,000
Effective interest rate (as a percent)									6.37%
Subsidiary L \| Facility agreement with a third party bank
New Project Loan Facilities and Financing Arrangement
Term of loan		7 years
Loan drew down					¥ 845,000
Principal amount of credit facility		¥ 1,010,000
Effective interest rate (as a percent)		7.35%
Subsidiary M \| Financing arrangement with a third-party financer
New Project Loan Facilities and Financing Arrangement
Term of loan			5 years
Principal amount of credit facility									¥ 200,000
Effective interest rate (as a percent)									9.70%
Subsidiary N \| Facility agreement with a third party bank
New Project Loan Facilities and Financing Arrangement
Term of loan		10 years
Loan drew down					¥ 57,067
Principal amount of credit facility		¥ 100,000
Effective interest rate (as a percent)		5.88%