KUALA LUMPUR: Privasia Technology Bhd is scaling up its RM569 million Silverstreams data centre project in Perak into a 35MW facility, with Phase 1 targeted for completion by end-2027 and full rollout by 2028.
The project, located in Bagan Datuk, will be developed in phases, with Phase 1 delivering 10MW, with the remaining 25MW to follow as customer demand evolves.
Executive deputy chairman Datuk Puvanesan Subenthiran said the phased approach reflects both market demand and the pace of technological change.
“We have identified customers for Phase 1 and are building the data centre based on their requirements,” he said at a press signing of its RM569 million engineering, procurement, construction and commissioning (EPCC) contract with Inspur Cloud Information Technology Co Ltd.
The project has been in development for about two years, involving multiple design iterations and early customer engagement to shape requirements. Phase 1 was awarded to Inspur under the EPCC contract.
Initial groundwork has begun, while letters of award have been issued to Privasia Sdn Bhd for ICT infrastructure and Privasia Sdn Bhd for high-availability telecommunications systems supporting the data centre.
Puvanesan said construction is expected to be completed by the end of 2027, followed by commissioning and operations by the end of 2027 or early 2028, with full rollout planned in 2028.
“We hope to complete construction by end-2027 and start operations then, with full rollout in 2028.”
While initially conceived as a joint venture with Mara Inc, Privasia has opted for an unincorporated partnership model, retaining ownership of the data centre while working with Mara as a development partner.
“There are many forms of joint ventures. With Mara Inc, we are project development partners. We are the data centre owner and will take on those responsibilities ourselves,” Puvanesan said, adding that Mara continues to support stakeholder engagement, approvals and development.
He said the approach underscores the need for flexibility in large-scale infrastructure projects, particularly as capital requirements and technology continue to evolve.
“Sometimes you have to pivot as capital requirements change. We may bring in partners at a later stage,” Puvanesan said.
Privasia plans to invest in additional data centre capacity in Perak, with costs for Phase 2 to be determined closer to implementation.
“Funding will come from a combination of equity, internal cash flow and borrowings, with details to be disclosed to Bursa Malaysia upon finalisation,” Puvanesan said.
The choice of Bagan Datuk in Perak reflects a deliberate move away from established data centre clusters such as the Klang Valley and Johor, where resource constraints are becoming more apparent.
“When a place gets crowded, resources become harder to secure. We also wanted to create socio-economic impact and build beyond traditional data centre locations,” Puvanesan said.
Inspur vice-president and CFO Lawrence Yu said the project reflects growing demand for digital infrastructure in Malaysia.
“Inspur sees Malaysia as an important market in our regional growth plans, and the collaboration with Silverstreams is an opportunity for us to help deliver infrastructure that supports long-term digital transformation in Southeast Asia,” he said.
Deputy Digital Minister Datuk Wilson Ugak Kumbong, who witnessed the signing, said data has become a strategic national asset, making its effective management and utilisation critical in determining economic strength and competitiveness.
He said the development of modern data centres is no longer optional but a fundamental requirement to support the digital economy and technological innovation, as such infrastructure will influence a country’s global competitiveness, investment attraction and innovation capabilities.
The Sun Malaysia
