AirTrunk gets $175 million for Malaysia data center expansion

AirTrunk Malaysia is set to receive up to $175 million in financing from the International Finance Corporation (IFC) to support the expansion of its hyperscale data center footprint in Johor, Malaysia, as demand for digital infrastructure accelerates across Asia-Pacific.

The investment, which remains pending signing as of July 2026, will fund the development of two major facilities, an existing 150+ megawatt (MW) fully contracted hyperscale data center (JHB1) and a new 270+ MW greenfield site (JHB2) located adjacent to it.

Expanding hyperscale infrastructure in Johor

Located in Iskandar, Johor Bahru, both data centers sit on industrial land within the Southern Industrial and Logistics Cluster (SILC), a fast-emerging hub for digital infrastructure in Southeast Asia.

The expansion underscores AirTrunk’s strategy to scale capacity in key markets as global cloud providers and enterprises increase demand for high-performance data hosting and processing infrastructure.

Backed by global investors including Blackstone and the Canada Pension Plan Investment Board (CPPIB), AirTrunk has positioned itself as one of the leading hyperscale data center operators in the Asia-Pacific region.

IFC financing structure and role

IFC’s proposed financing package will combine debt and equity, including up to $250 million in loans and $50 million in equity investment, according to indicative figures approved by its board. The institution’s participation is expected to mobilize additional capital while strengthening the project’s financial structure.

Beyond funding, IFC will also provide advisory support aimed at enhancing environmental and social standards across the project, helping identify and address potential gaps in sustainability practices.

Boosting digital economy and job creation

The project is expected to play a key role in strengthening Malaysia’s digital economy by expanding critical infrastructure needed to support cloud computing, data storage, and digital services across the region.

In addition to improving market competitiveness in data hosting services, the development is projected to generate both direct and indirect employment opportunities during construction and operations.

With hyperscale demand continuing to rise, AirTrunk’s Johor expansion highlights the growing importance of Southeast Asia as a strategic destination for large-scale data center investments.