[KUALA LUMPUR] International Finance Corporation (IFC), the World Bank’s investment arm, announced a senior loan of US$150 million to support the construction of a data centre development in Malaysia by Yondr Group.
The company is a global developer, owner, operator and service provider of hyperscale data centres.
The loan will fund the first phase of the 300-megawatt data centre at the Sedenak Tech Park in Johor, the company said on Wednesday (May 29).
The project, spanning 72.5 acres, will be the largest data centre campus in an emerging market in terms of land size and committed power capacity.
Katia Daude Goncalves, IFC’s country manager for Singapore, Malaysia, and Brunei, said this project will sustainably enhance digital connectivity for individuals and businesses, boosting the competitiveness of Malaysia’s, as well as the region’s rapidly growing data hosting services market.
Yondr’s chief financial officer Chester Reid said that the financing demonstrates the potential IFC sees not only in the company, but also in Malaysia’s digital economy, which is developing at a rapid pace.
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“We look forward to expanding our growing relationship with IFC and partnering with Malaysia and other developing nations in the future,” added Reid.
The project is IFC’s third investment in Malaysia, after the multilateral development institution set up an office in the country last year.
In December, IFC offered a blue loan of US$70 million to China’s Shandong Intco Recycling Resources to build a multi-material plastic recycling plant in Malaysia and support the working capital needs of its operations.
The institution is focused on the private sector in emerging markets, and has a presence in over 100 countries. It has also committed a record US$43.7 billion to private companies and financial institutions in developing countries for FY2023.
