DayOne Data Centers Singapore Pte Ltd has secured a landmark US$3.5 billion (approximately RM15 billion) in multicurrency financing to support the development and expansion of its green data centre operations in Johor, Malaysia.
The financing package, arranged with the support of Oversea-Chinese Banking Corporation Ltd (OCBC) and its Malaysian subsidiary OCBC Bank (Malaysia) Bhd, comprises RM7.5 billion in Islamic financing and a US$1.7 billion offshore term-loan facility. Both entities acted as joint coordinators for the syndicated deal, which represents the largest-ever loan secured by the company to date.
Proceeds from the financing will be utilised for refinancing and capital expenditure associated with DayOne’s data centre infrastructure in the region. The facilities are on track to obtain certification for green digital infrastructure, in alignment with global sustainability standards.
Malaysia, particularly Johor state, is rapidly emerging as a strategic hub for data centre development in Asia, driven by accelerating demand linked to artificial intelligence and digital transformation. Located directly across the causeway from Singapore, Johor currently hosts around 30 operational or in-progress data centre projects, with an additional 20 awaiting regulatory approval.
Major international technology firms, including Microsoft Corp and ByteDance Ltd, have also committed to investments in Johor’s data infrastructure.
DayOne, previously known as GDS International, serves as the international arm of China-based data centre operator GDS Holdings Ltd. According to Bloomberg, this financing arrangement is among the largest syndicated loans ever secured by a data centre operator in Asia.
-Bloomberg
