International Finance Corporation (IFC), the largest global development institution focused on the private sector in emerging markets and a member of the World Bank Group, and a consortium of six international financial institutions have committed over $900 million in financing to global data-center operator Yondr Group’s hyperscale data-center campus in Malaysia.
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DBS, Deutsche Bank, Global Infrastructure Partners (a part of Blackrock), HSBC, ING and Natixis CIB joined IFC in the latest round of financing for the 98-megawatt project in Johor Bahru, which is the first phase of a 72.5-acre data center campus that is set to deliver 300 megawatts of critical IT capacity when fully complete. The project is set to become one of the largest and most technologically advanced data centers in Asia Pacific, supporting rapidly growing demand for data processing capacity in the region.
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IFC announced an up to $150 million financing package for Yondr’s Malaysia project in May 2024, comprising an initial $50 million bridge loan that played a crucial role in advancing the project and attracting the six international financial institutions into this most recent financing round. IFC has now committed its second tranche of financing of $100 million alongside financing from the other lenders.
“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 Chester Reid, Chief Financial Officer at Yondr. “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.”
The campus will also be certified by the Excellence in Design for Greater Efficiencies green building program, IFC’s green building certification system focused on making buildings more resource efficient.
“We’re delighted to commit this second tranche of our financing for Yondr’s data-center campus in Malaysia,” said Judith Green, the World Bank Group’s Country Manager for 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.”
IFC acted as mandated lead arranger of the financing package, while DBS, Deutsche Bank, HSBC, ING and Natixis CIB acted as mandated lead arrangers, underwriters and bookrunners.
The project is IFC’s third investment in Malaysia since establishing a presence in the country in 2023.
About IFC
IFC — a member of the World Bank Group — is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2024, IFC committed a record $56 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to create a world free of poverty on a livable planet.
About Yondr Group
Yondr Group is a global developer, owner and operator of hyperscale data centers. The company specialises in delivering and operating dedicated infrastructure that is engineered for scale. As an organisation, our mission ‘Global capacity responsible delivery’ ensures that we achieve our vision of a tomorrow without constraints.
