(July 31): Thailand’s True Internet Data Center Co is seeking an about US$2 billion-equivalent (RM8.17 billion) loan to build a new facility, according to people familiar with the matter, as the country looks to become a regional hub for artificial intelligence (AI) and cloud services. 
 
The loan would be divided into three tranches — an about US$1.8 billion portion in dollars, along with two other parts denominated in Thai baht, the people said, who asked not to be identified discussing private matters. 

Proceeds from the loan, which could carry a five-year tenure, would be used to fund the construction of a new data centre on the outskirts of Bangkok, the people said. Talks with banks are still at an early stage and the details may change, the people said. 

True IDC’s proposed loan comes as Thailand seeks to win billions of dollars of investment in AI infrastructure and hyper-scale data centres. In May, the country approved 958 billion baht (RM116.84 billion) of investment projects, including TikTok System (Thailand) Co’s planned expansion of data infrastructure. Other tech giants investing in Thailand include Alphabet Inc’s Google, Amazon.com Inc and Microsoft Corp.

True IDC didn’t respond to a request for comment. 

The AI boom has fuelled a wave of multibillion-dollar data centre deals across the Asia-Pacific, even as the broader regional syndicated loan market remains in its deepest slump in 16 years. Blue Owl Capital’s Stack Infrastructure Inc is seeking an A$8.5 billion (RM24.27 billion) syndicated loan to fund its latest project in Melbourne, while Blackstone Inc-owned data centre AirTrunk recently secured a US$2.3 billion green borrowing for a new project in Malaysia. 

True IDC is an AI hyperscale data centre that is part of Ascend Group Co, a subsidiary of the Thai conglomerate Charoen Pokphand Group, according to CP Group’s website. The firm operates four data centres in Thailand and one in Myanmar, according to its website.

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