KUALA LUMPUR (Oct 16): Aizo Group Bhd (KL:AIZO) has inked a memorandum of understanding (MOU) with NetRunner Sdn Bhd to jointly establish a Tier 4 data centre hub in Sarawak, to meet the increasing demand for secure and reliable data storage and processing facilities.

Formerly known as Minetech Resources Bhd, the group said the signing of this MOU also represents Aizo’s maiden venture into the data centre industry.

This strategic move marks a key step in the group’s diversification into digital infrastructure, a rapidly growing sector that presents significant growth opportunities.

Aizo is currently involved in various business segments, including civil engineering, bituminous products, renewable energy and financial technology.

By entering the data centre market, Aizo is positioning itself to meet the rising demand for secure and efficient data management solutions, while reinforcing its commitment to innovation and sustainable development in Sarawak, its statement showed.  

Aizo executive chairman Datuk Abang Abdillah Izzarim Abang Abdul Rahman Zohari said this MOU is a significant milestone for all parties involved.

“Working alongside the Sarawak government and NetRunner, we believe that the Tier 4 data centre park will become a cornerstone for the region’s digital infrastructure," he said.  

NetRunner is principally engaged in businesses relating to operation of generation facilities that produce electric energy, solar energy and all related business, computing programming activities, computer consultancy, information technology and all related business and investment holdings.

This MOU shall be valid for two years from the date of signing, but the extension of this MOU for any further period as they deem necessary is allowed.

Aizo's executive director of operations, human resources and admin Ahmad Rahizal Datuk Ahmad Rasidi and its executive director of finance and Technology Emma Yazmeen Yip Mohd Jeffrey Yip are both directors and shareholders of NetRunner.

Aizo’s share price closed up half a sen or 3.6% to 14.5 sen, bringing the group a market capitalisation of RM263 million.