Singapore-headquartered data center operator Princeton Digital Group Ltd (PDG) is seeking a syndicated loan of up to US$1.2 billion (RM4.9 billion) to fund its Johor data center buildout amid its Asian expansion, Bloomberg reported yesterday citing people familiar with the matter.
The three-year loan will be arranged by HSBC Holdings plc Singapore branch, Maybank Investment Bank Bhd, OCBC Bank (Malaysia) Bhd, Standard Chartered Bank (Singapore) Ltd, and United Overseas Bank Ltd.
The proceeds will be used to fund its 198.8-MW data center campus in Johor, Malaysia and to refinance existing debt, said the people, adding that PDG’s subsidiary Princeton Digital Group Labuan Alpha Ltd, will be taking up the loan.
Representatives for Princeton Digital Group, HSBC, Maybank, OCBC Malaysia and UOB didn’t immediately respond to requests for comment while Standard Chartered declined to comment.
In May, PDG announced it raised about US$856 million for its Indonesian data center buildout. It is targetting to raise US$5 billion in debt to support its regional expansion plans, as announced earlier this year.
PDG’s investors include Warburg Pincus (its top shareholder), Stonepeak Partners, Abu Dhabi sovereign fund Mubadala Investment Co and Ontario Teachers’ Pension Plan Board.
The firm operates more than 1.8GW of data center capacity across Asia including China, Japan, South Korea, India, Singapore, Malaysia and Indonesia.