Khazanah’s UEM Drives Malaysia’s $40B Data Center Boom in Johor

Malaysia's sovereign wealth fund Khazanah Nasional Bhd. is leveraging its infrastructure arm UEM Group Bhd. to capitalize on Johor's data center surge. Managing Director Amran Hafiz Affifudin confirms plans to repurpose UEM's vast land holdings—including 4,600 acres under subsidiary UEM Sunrise Bhd.—for industrial space and renewable energy projects critical to hyperscale data facilities.

Johor has secured 164.45 billion ringgit ($40B) in data center commitments as of Q2, with analysts projecting the state will host 60% of Malaysia's data infrastructure by 2030. The growth coincides with Singapore's new special economic zone development, positioning Johor as Southeast Asia's emerging digital gateway.

UEM Sunrise is finalizing plans for the 40-acre Gerbang Nusajaya Industrial Park, while green energy unit UEM Lestra Bhd. prepares to break ground on a 1-gigawatt hybrid solar plant. "Our assets align perfectly with hyperscalers' needs for land, power, and connectivity," Amran noted during a Kuala Lumpur briefing.