KUALA LUMPUR (Dec 23): International Finance Corporation (IFC) and a consortium of six global financial institutions will lend over US$900 million (RM4 billion) to US-based Yondr for the construction of its data centre in Malaysia.
DBS, Deutsche Bank, Global Infrastructure Partners, HSBC, ING, and Natixis CIB joined IFC, the investment and advisory arm of the World Bank, in the latest round of financing for the 98-megawatt project in Johor Bahru, the first phase of a 72.5-acre hyperscale data centre.
The project, according to World Bank Group’s country manager for Malaysia Judith Green, 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 first announced an up to US$150 million financing package for Yondr’s Malaysia project in May 2024 that helped attract the six international financial institutions into the second round of financing for the project that has the capacity of up to 300 megawatts when fully completed.
The project is IFC’s third investment in Malaysia since the multilateral development institution set up an office in the country last year.
“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 Yondr chief financial officer Chester Reid.
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.