YTL Power to develop new gigawatt data centre campus in Johor

KUALA LUMPUR (Aug 19): YTL Power International Bhd (KL:YTLPOWR) is planning to develop a new gigawatt data centre campus in Johor with a state-owned firm.

The project will be located within Sedenak Tech Park West and sit on a 145-acre land to be acquired by YTL Power’s unit SIPP Power Sdn Bhd from JLand Group, according to a statement. SIPP Power has the option to acquire up to a further 400 acres, potentially expanding the campus to 545 acres.

Details on the transaction and the project were not disclosed.

“Together with our expanding Kulai campus, Sedenak will further strengthen Johor’s position as a leading regional centre for artificial intelligence, cloud computing and digital innovation,” YTL Power managing director Datuk Seri Yeoh Seok Hong said in the joint statement with JLand Group.

YTL Power owns 70% of SIPP Power. The remaining 30% is owned by SIPP Energy Sdn Bhd, which is controlled by former Umno Kota Tinggi division chief Datuk Daing A Malek Daing A Rahman.

JLand Group is the real estate arm of Johor Corporation that manages assets worth over RM25 billion on behalf of the Johor state government. JLand Group is also the master developer of Ibrahim Technopolis, which covers Sedenak Tech Park West.

YTL Power’s presence at Sedenak Tech Park West “brings significant digital infrastructure investment and strengthens the wider ecosystem across energy, utilities, technology and supporting industries”, JLand Group managing director Datuk Akmal Ahmad added.

The Sedenak development will add to YTL Power's existing YTL Green Data Center Park in Kulai, where the group is already progressively bringing data centre capacity online. As at March 2026, YTL Power had 298MW of data centre capacity contracted and said it planned to increase the Kulai park's capacity to 1,000MW from 600MW.

The Kulai development also houses YTL Power's AI infrastructure, developed in partnership with US chipmaker Nvidia Corp. The partnership was first announced in December 2023, when the group said it would work with Nvidia to build AI infrastructure in Malaysia using Nvidia H100 Tensor Core GPUs and Nvidia AI Enterprise software.

YTL Power subsequently announced in March 2024 the formation of YTL AI Cloud, its specialised provider of large-scale GPU-based accelerated computing, together with plans to deploy Nvidia's newer Grace Blackwell technology. The local multi-utility group was among the first companies to adopt Nvidia's GB200 NVL72, a liquid-cooled rack-scale system incorporating 72 Blackwell GPUs and 36 Grace CPUs connected through fifth-generation NVLink.

All these developments also come at a time when YTL Power was reported to be weighing a potential listing of its data centre business.

RHB Investment Bank said in July that the group was exploring an initial public offering of the data centre unit in 2027 to raise funds and unlock value. The research house estimated that the non-AI data centre business could be worth about RM28 billion, or RM3.06 per YTL Power share, based on its own valuation assumptions.

Shares of YTL Power closed two sen or 0.4% lower at RM4.88 on Wednesday, valuing the group at RM42.57 billion. The counter has gained more than 46% year to date.

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