MN HOLDINGS Bhd has secured an RM162.59 million contract to design and build infrastructure for a hyperscale data centre in southern Malaysia.

The underground utilities and substation engineering firm announced that its wholly-owned subsidiary, Mutu Nusantara Sdn Bhd, recently accepted the letter of award (LOA) from Customer A to act as the main contractor.

The project scope includes the design, construction and installation of a high-voltage main switching station (SSU) and consumer containerised SSU.

The client, a private limited company incorporated in Malaysia, is engaged in hosting infrastructure, data processing services, wholesale activities and computer facilities management.

However, its identity remains undisclosed due to a non-disclosure agreement prohibiting information disclosure without prior written consent.

Work on the project will commence immediately and is expected to be completed by July 2025.

“As new data centres are built across South-East Asia, Malaysia has gradually emerged as a front runner due to its affordable real estate, strong telecommunications infrastructure and reliable power supply,” said MN Holdings ED Datuk Loy Siong Hay.

He highlighted Malaysia’s burgeoning data centre market, which boasts a 1.2GW pipeline planned, representing a 600% growth over the next five years.

“Malaysia has experienced a phenomenal surge in data centre development. In just two years, the state’s capacity has skyrocketed from 10MW to over 1,000MW, making it a regional powerhouse. This boom presents several exciting prospects for MN Holdings. We will continue to leverage our deep experience in the underground utilities and substation engineering segment to secure more projects from the data centre segment moving forward,” Loy added.

The contract win boosts MN Holdings’ order book to RM763.7 million, ensuring strong earnings visibility for the next two years.