KUALA LUMPUR (July 26): US electronic manufacturing services firm Plexus Corp said on Friday it is investing more than RM1 billion in Malaysia over the next three years as it broke ground on its sixth manufacturing facility in Penang.

The so-called Plexus Bridgeview facility, sprawling over 560,000 square feet, will allow the expansion of semiconductor capital equipment business, Plexus said in a statement. The new facility will also support ongoing growth of its healthcare and life sciences segments, it noted.

“The establishment of the new Plexus Bridgeview facility demonstrates our commitment to growth within the region, and provides a strong opportunity to meet the growing needs of our valued customers,” said Victor Tan, Plexus’ regional president for Asia-Pacific.

Penang is home to some of the largest global electrical and electronic (E&E) companies, including semiconductor giants Intel and Infineon Technologies, as well as major electronics manufacturers such as medical device maker B Braun and power tool company Bosch.

Plexus already has more than 10,000 staff across five manufacturing sites and one design centre in Penang since entering Malaysia more than two decades ago.

The latest expansion is expected to create some 1,800 new jobs in the region, Plexus said.

“This project will create a ripple effect by generating high-skilled job opportunities and developing our E&E supply chain ecosystem to serve the growing global semiconductor and healthcare device markets,” said Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz.

Malaysian Investment Development Authority said Malaysia’s robust E&E ecosystem, “the exceptional capabilities of our local talent and our well-developed semiconductor supply chain provide the perfect foundation for investors like Plexus”.

“I am grateful to Plexus for continuing to select Penang as your choice of location to expand your operations, which highlights the confidence Plexus places in Penang’s existing robust industrial ecosystem, which enables the company to thrive and grow,” said Datuk Loo Lee Lian, chief executive officer of InvestPenang.