Pranav Hotkar
Kuala Lumpur, Malaysia - April 1, 2026 - IJM Corporation has secured a RM 658 million (~USD 140 million) contract to build a hyperscale data center in Selangor, marking another major win as Malaysia’s digital infrastructure sector continues to expand.
The contract was awarded for the development of a data center at Elmina Business Park and includes the construction of core and shell facilities, as well as associated infrastructure works. The project has been commissioned by a subsidiary of Sime Darby Property following a competitive tender process.
According to IJM, the scope of work also covers testing, commissioning, and ancillary components required to support hyperscale operations. The development is scheduled to commence in the second quarter of 2026, with completion targeted for the third quarter of 2027.
The project site spans approximately 77 acres and is designed to accommodate large-scale data center infrastructure, reflecting growing demand from cloud and artificial intelligence (AI) providers in the region. While the end customer has not been disclosed, the facility is expected to support hyperscale workloads, which typically require high-density power and advanced cooling capabilities.
This latest contract adds to IJM’s expanding portfolio in the data center sector, where the company has been actively securing projects amid a surge in digital infrastructure investment. The group has now delivered multiple data center developments, positioning itself as a key contractor for hyperscale builds in Malaysia.
Industry analysts note that Malaysia is emerging as a strategic data center hub in Southeast Asia, driven by its proximity to Singapore, competitive cost structure, and improving connectivity. As hyperscale operators seek alternative locations to expand capacity, markets such as Selangor are gaining traction for large-scale deployments.
The award also highlights increasing participation from traditional construction firms in digital infrastructure projects, as demand for specialized facilities accelerates alongside cloud adoption and AI-driven workloads.
With this contract, IJM continues to strengthen its role in supporting the region’s growing data center ecosystem, as developers and operators scale infrastructure to meet rising demand for compute, storage, and connectivity across Southeast Asia.
