JOHOR BAHRU: ST Telemedia Global Data Centres (STT GDC) has secured green financing of up to US$1.37 billion (RM5.6 billion) to develop its flagship Malaysian data centre campus in Johor, reinforcing the state’s growing role as a regional digital infrastructure hub.
The financing package includes a green loan facility for the first phase of the STT Johor campus at Nusa Cemerlang Industrial Park in Iskandar Puteri.
United Overseas Bank (Malaysia) Bhd is the sole coordinator and mandated lead arranger, with OCBC Bank (Malaysia) Bhd, Standard Chartered Bank Malaysia Bhd and CIMB Bank Bhd serving as mandated lead arrangers.
STT GDC group chief financial officer Nelson Lim said the financing reflected strong confidence among the company’s banking partners in the Johor project and the long-term fundamentals of the digital infrastructure sector.
“This financing is an important milestone in STT GDC’s continued investment in Malaysia.
“As demand for cloud, AI and other digital workloads grows, disciplined, long-term capital will be critical to building infrastructure that is resilient, sustainable and able to support our customers’ requirements,” he said.
Lim said the green loan facility was aligned with STT GDC’s approach of integrating sustainability into the financing, design, construction and operation of its data centres.
The STT Johor campus is planned to accommodate up to 166 megawatts of information technology load, positioning it to serve regional and global demand for cloud computing, artificial intelligence, high-performance computing and other next-generation digital workloads.
Johor has emerged as a strategic destination for hyperscale and large-scale data centre investment, supported by its proximity to Singapore, connectivity, access to power infrastructure and expanding pool of skilled workers.
STT GDC said the campus would also support the objectives of the Johor-Singapore Special Economic Zone, which seeks to deepen cross-border economic cooperation and attract higher-value investments to the state.
With the financing secured, the company said it would advance the campus development in coordination with government agencies, utility providers and other industry partners.
STT GDC Malaysia country head Darryll Sinnappa said the investment reflected the company’s long-term commitment to Malaysia and its confidence in Johor’s potential as a strategic digital infrastructure centre.
“The campus is being developed to support the next generation of digital infrastructure requirements, including cloud, AI and high-performance computing workloads, while contributing to Malaysia’s digital economy ambitions,” he said.
Sinnappa said the company’s investment would extend beyond physical infrastructure to include developing local talent and strengthening partnerships within Johor’s digital ecosystem.
In April, STT GDC launched talent and community development initiatives in Johor in collaboration with the Johor Talent Development Council, Universiti Teknologi Malaysia and EPI Group.
The initiative builds on a memorandum of understanding signed with the council in 2025 to establish a pipeline of skilled professionals for Johor’s expanding data centre industry and the wider region.
STT GDC said the financing also formed part of its wider strategy to ensure that the expansion of its global data centre platform was accompanied by responsible resource management and greater energy efficiency.
According to its latest environmental, social and governance report, renewable energy accounted for 83.2% of the group’s electricity consumption in 2025.
Its carbon intensity declined by 70.5% from the 2021 baseline, enabling the company to surpass its 2028 reduction target three years ahead of schedule.
STT GDC also recorded an average power usage effectiveness ratio of 1.44, a 13% improvement from its 2020 baseline, while water usage effectiveness improved by 41.2% over the same period.
The group operates data centres across 13 markets, including Singapore, Malaysia, Thailand, Indonesia, the Philippines, Vietnam, India, Japan, South Korea, the United Kingdom, Germany and Italy.
