Malaysian Investment Development Authority (MIDA) and Malaysia Digital Economy Corporation (MDEC) Welcome the JV Partnership to Enhance Digital Infrastructure in Malaysia

SINGAPORE/KUALA LUMPUR, MALAYSIA - Media OutReach - 23 February 2023 - Real estate private equity firm Gaw Capital Partners announced today that the firm, has formed a JV platform jointly with A3 Capital to invest into greenfield and under-performing data centre assets across key markets in the Southeast Asia region. The collaboration is aimed to create a portfolio of Tier-3 certified data centre assets. This JV platform will also launch the Infinaxis Data Centre platform with a focus on developing Internet Data Centre (IDC) assets across the Southeast Asia region. The data centre assets under the JV platform will be managed by Infinaxis, staffed by an experienced data centre team originally under A3 Capital. The JV platform's first investment is located in Cyberjaya, Kuala Lumpur, Malaysia, with other pipeline opportunities in other neighboring countries like Indonesia and Singapore. Cyberjaya is one of the largest IDC hubs in Malaysia, housing 67 per cent of the Multi-Tenant Data Centre market in Malaysia as of Q2 2021. Considered as the "Silicon Valley of Malaysia", Cyberjaya, spanning around 29 square kilometers, is the nucleus of the Multimedia Super Corridor in Malaysia. Cyberjaya houses over 2,000 businesses, including SMEs, startups and multinational companies such as IBM, Fujitsu, Panasonic and Huawei, as well as seven universities, turning it into a regional and global ICT hub. Located in Cyberjaya, the seed investment consists of two greenfield sites with a combined plot area of 12,490 square meters. The JV platform will develop a 12 MW IT load IDC facility on one of the plots. The IT capacity will potentially be doubled in the future, with the second plot to be developed as an expansion site. The data centre assets under the JV platform will be operated by Infinaxis, which consists of seasoned industry experts with decades long track records in data centre, real estate and technology industries. Kok Chye Ong the Managing Director and Head of IDC Platform, Asia (Ex-China) of Gaw Capital Partners said "Gaw Capital Partners is honored to work together with Infinaxis Data Centre Holdings as the platform operator. By forming this strong partnership, we will develop, acquire or reposition four to five data centres in different locations throughout Southeast Asia. The data centre demand in Malaysia is underpinned by strong internet traffic and high amount of data consumption. In recent years, the internet data growth in these areas have been further accelerated by the continued digital transformation of enterprises and 5G penetration. Also, several government initiatives over the last decade have made Malaysia an attractive market for data centres. However, the supply of quality data centres has not caught up with the technical demand from customers. We look forward to exploring more investment opportunities in this market." Zahri Mirza, Chief Executive Officer (CEO) for Infinaxis further added, "The outlook for data centre demand in Southeast Asia is indeed highly positive and our collaboration with Gaw Capital will allow us to fast track the delivery of services for our customers. Indeed, through our Gaw Capital partnership we have been able to gain support from MIDA and MDEC in processing the necessary regulatory approvals in a timely manner." The Malaysian Investment Development Authority (MIDA) and Malaysia Digital Economy Corporation (MDEC) welcome the JV partnership formed by Gaw Capital Partners and A3 Capital to launch the Infinaxis Data Centre platform, enhancing digital infrastructure in Malaysia. Data center facilities are now at the forefront of innovation and have been supporting the demand for mission-critical digital infrastructures and the cumulative growth of data. Not only do businesses rely on data centers for storage, but for disaster recovery and data management too. Datuk Wira Arham Abdul Rahman, CEO of MIDA said "My sincere compliments to Gaw Capital Partners and A3 Capital for launching the Infinaxis Data Centre platform. Malaysia is the location of choice for industry leaders to site their best-in-class data centres. These combined efforts will definitely play a key role in enhancing our digital infrastructure." "The Government is committed to growing Malaysia as a data centre hub by developing infrastructure, facilitating innovation and strengthening frameworks guided by the MyDigital Blueprint and National Investment Policy (NIP). Anchored by the National Investment Aspirations (NIA), the NIP will outline practical strategies to prioritise nurturing innovative, high-impact, high-tech investments that create high value jobs," added Datuk Wira Arham.Ts. Mahadhir Aziz, CEO of MDEC, said, "As the nation's lead digital economy agency, we are pleased to have facilitated this expansion in raising the...