Singapore-based Princeton Digital Group has secured a significant US$280 million green loan to aid in financing the construction of a state-of-the-art data center in southern Malaysia. This new facility, with a total investment of US$1.5 billion, marks a key milestone for the Asian infrastructure operator, aiming to have the complex up and running by June.
The funding for this ambitious project was obtained from three prominent financial institutions, Maybank, Standard Chartered, and United Overseas Bank, signifying Princeton Digital’s inaugural green loan endeavor. This type of financing is designed to support eco-friendly initiatives, aligning with the company’s commitment to sustainability.
Amid a surge in demand for cloud services and artificial intelligence (AI) capabilities, tech giants like Microsoft and private equity firms like KKR & Co are actively investing in data centers across Asia. Princeton Digital, backed by Warburg Pincus, is strategically positioning itself to meet this growing need by securing necessary funds for various projects, including this cutting-edge data center.
The company, established in 2017, specializes in developing and operating server facilities in key Asian markets such as China, Singapore, India, Indonesia, Malaysia, and Japan. Through strategic partnerships and investments, including one by the Abu Dhabi sovereign fund Mubadala Investment, Princeton Digital has continued to expand its footprint in the region.
The latest venture in Malaysia’s Johor state highlights the region’s emergence as a thriving hub for AI data centers. With investments from industry giants like Nvidia and collaborations with local entities like YTL Power International, Johor Bahru is rapidly establishing itself as a key player in the evolving landscape of AI infrastructure.
In conclusion, Princeton Digital’s successful acquisition of a green loan to fund its groundbreaking data center project underscores the company’s commitment to innovation and sustainability in the rapidly evolving digital landscape of Asia. With strategic partnerships, investments, and a focus on eco-friendly initiatives, Princeton Digital is poised for continued growth and success in meeting the escalating demands of the AI and cloud services market.
