Yondr raised $900 M from IFC and global lenders for data center in Malaysia
The International Finance Corporation (IFC) and a group of six international financial institutions have contributed more than $900 million to the global data center operator Yondr Group’s hyperscale data center campus in Malaysia.
DBS, Deutsche Bank, Global Infrastructure Partners (a division of Blackrock), HSBC, ING, and Natixis CIB have joined IFC in the most recent round of financing for the 98-megawatt project in Johor Bahru. This is the first phase of a 72.5-acre data center campus that, when finished, will provide 300 megawatts of critical information technology (IT) capacity, according to a statement released by IFC on Monday.
The project will serve the region’s constantly increasing demand for data processing capacity by becoming one of Asia Pacific’s largest and most technologically advanced data centers.
A $50 million bridging loan was part of the $150 million financing package that IFC announced in May 2024 for Yondr’s Malaysia project. This loan was essential to the project’s advancement and to luring the six foreign financial institutions into this most recent funding round.
Together with funding from the other lenders, IFC has now committed its second tranche of $100 million in financing.
“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,
“Our success in securing a substantial loan facility to help complete the first phase of this campus highlights trust in the Yondr brand from leading financial institutions, following a number of major project milestones we have delivered this year in Europe and North America,” said Chester Reid, Chief Financial Officer at Yondr.
The Excellence in Design for Greater Efficiencies green building program, which is IFC’s green building certification system aimed at increasing building resource efficiency, will also certify the campus.
“We’re delighted to commit this second tranche of our financing for Yondr’s data-center campus in Malaysia,
“This project will not only help to accelerate the digital transformation of the wider Asia-Pacific region, but 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,” said Judith Green, the World Bank Group’s Country Manager for Malaysia.
DBS, Deutsche Bank, HSBC, ING, and Natixis served as required lead arrangers, underwriters, and bookrunners for the financing package, with IFC serving as the required lead arranger.
Since establishing a foothold in Malaysia in 2023, this project is IFC’s third investment in the nation.
The Yondr Group develops, owns, and runs hyperscale data centers all around the world.
The business specializes in providing and managing scalable dedicated infrastructure.
As a part of the World Bank Group, IFC is the biggest international development organization devoted to the private sector in emerging nations.
