The project will be among Asia-Pacific’s largest and most advanced data centres
Committed over US$900 million to Yondr Group’s data-centre campus in Malaysia
International Finance Corporation (IFC), a global development institution focused on the private sector in emerging markets and a member of the World Bank Group, along with a consortium of six international financial institutions, has committed over US$900 million (RM4 billion) in financing to global data-centre operator Yondr Group’s hyperscale data-centre campus in Malaysia.
DBS, Deutsche Bank, Global Infrastructure Partners (a part of BlackRock), HSBC, ING and Natixis CIB joined IFC in the latest round of financing for the 98-megawatt project in Johor Bahru. This represents the first phase of a 72.5-acre data-centre campus set to deliver 300 megawatts of critical IT capacity upon completion. The project is poised to become one of the largest and most technologically advanced data centres in Asia-Pacific, supporting the rapidly growing demand for data processing capacity in the region.
In May 2024, IFC announced up to US$150 million (RM672 million) in financing for Yondr’s Malaysia project, which included an initial US$50 million bridge loan. This loan played a crucial role in advancing the project and attracting the six international financial institutions to the most recent financing round. IFC has now committed its second tranche of financing, amounting to US$100 million, alongside contributions from the other lenders.
[RM1 = US$0.22]
“Our Johor campus is a landmark development for Yondr and will become an important part of Asia’s infrastructure as demand for capacity continues to grow in the region, driven by the acceleration of artificial intelligence and digital services,” said Chester Reid, chief financial officer at Yondr. “Our success in securing a substantial loan facility to help complete the first phase of this campus highlights trust in the Yondr brand from leading financial institutions, following a number of major project milestones we have delivered this year in Europe and North America.”
The campus will also be certified by the Excellence in Design for Greater Efficiencies green building programme, IFC’s green building certification system focused on improving resource efficiency.
“We’re delighted to commit this second tranche of our financing for Yondr’s data-centre campus in Malaysia,” said Judith Green, the World Bank Group’s country manager for Malaysia. “This project will not only help accelerate the digital transformation of the wider Asia-Pacific region but also serves as a strong example of how IFC’s tailored financing solutions can de-risk projects and drive private-sector investment into emerging markets.”
IFC acted as mandated lead arranger of the financing package, while DBS, Deutsche Bank, HSBC, ING and Natixis acted as mandated lead arrangers, underwriters and bookrunners.
The project marks IFC’s third investment in Malaysia since establishing a presence in the country in 2023.
IFC and global lenders finance Yondr’s data center project in Malaysia
