Princeton Digital Secures $1.5 Billion Green Loan for Asia AI Hub

Princeton Digital Group Secures $280 Million Green Loan for Data Center in Malaysia

Princeton Digital Group, a leading Asian infrastructure operator, has secured a $280 million green loan to help finance the construction of a $1.5 billion data center in southern Malaysia. This marks the company’s first green loan, aimed at supporting environmentally friendly projects.

Backed by Warburg Pincus, Princeton Digital Group has partnered with Maybank, Standard Chartered Plc, and United Overseas Bank Ltd. to secure the financing for the state-of-the-art data center, which is set to be operational by June.

The demand for data centers in Asia is rapidly increasing, driven by the growth of AI development and cloud services. Tech giants like Microsoft Corp. and investment firms like KKR & Co. are investing heavily in data center infrastructure across the region. Microsoft recently announced a $2.2 billion investment in Malaysia.

Princeton Digital Group, based in Singapore, plans to borrow $1 billion to finance multiple projects in the region. The company, founded in 2017, operates facilities in China, Singapore, India, Indonesia, Malaysia, and Japan, with support from Warburg Pincus.

The data center in Malaysia’s Johor Bahru region, connected to Singapore by a causeway, is set to become a key hub for AI development. Nvidia Corp. has also announced plans to build a $4.3 billion AI data center park in the area, highlighting the region’s growing importance in the tech industry.

With the support of the green loan, Princeton Digital Group is poised to play a significant role in the expansion of data center infrastructure in Asia, supporting the region’s digital transformation and technological advancement.