AirTrunk secures USD $2.325 billion green financing

AirTrunk has secured USD $2.325 billion in green financing for its JHB2 data centre campus in Johor Bahru, the largest green project finance transaction for a single data centre in Malaysia.

The deal is also the largest single-asset funding package in AirTrunk's history, bringing together a syndicate of 30 local and international financial institutions. The loan sits under AirTrunk's Green Financing Framework and will fund development of the hyperscale campus in southern Malaysia.

JHB2 is being developed for Malaysia's expanding cloud and artificial intelligence market. The site is designed to achieve a power usage effectiveness target of 1.37 and will use water-efficient cooling technology.

The transaction is also AirTrunk's first financing from International Finance Corporation, part of the World Bank Group. It adds a development finance institution to a lender group led by 10 global coordinators: BNP Paribas, Crédit Agricole Corporate and Investment Bank, DBS, ING, Mizuho, MUFG, Société Générale, Sumitomo Mitsui Banking Corporation, HSBC and United Overseas Bank.

Other mandated lead arrangers, underwriters and bookrunners were CIMB, Clifford Capital Credit Solutions, International Finance Corporation, National Bank of Kuwait and Standard Chartered Bank Singapore. Crédit Agricole Corporate and Investment Bank, DBS, ING and HSBC acted as green loan coordinators.

Efficiency focus

The financing is aligned with environmental key performance indicators, and margin savings from the facility will continue to fund community projects in Malaysia. These include recycled water programmes in schools through Gravity Water and Water Watch Penang, disaster relief through MERCY Malaysia, and science, technology, engineering and mathematics education initiatives with Universiti Teknologi Malaysia.

The company also described the deal as the first data centre financing in Asia-Pacific aligned with IFC's Blue Finance Guidelines 2.0, linking the loan structure to water efficiency measures at the site.

Malaysia has become an increasingly important market for data centre investment as cloud providers and technology groups expand infrastructure across Southeast Asia. Johor in particular has attracted major projects because of its proximity to Singapore and access to land and power.

AirTrunk has been one of the region's more active operators in large-scale data centres, focusing on campuses built for hyperscale customers. The latest funding underlines lenders' willingness to back digital infrastructure projects tied to environmental targets, even as scrutiny of data centres' electricity and water use intensifies.

Pei Jet Lim, Vice President and Country Head, Malaysia, AirTrunk, said: "This green financing demonstrates how digital infrastructure can be developed responsibly. As one of the largest issuers of sustainable finance in the global data centre industry, we will continue to invest in infrastructure that prioritises energy and water efficiency while ensuring the benefits extend beyond our campuses through meaningful contribution to support local communities."

Edmund Tan, Senior Director, Treasury Loans, AirTrunk, said: "This transaction reflects the strength of AirTrunk's sustainability credentials and the confidence leading global financial institutions have in our long-term strategy. Structured around transparent environmental KPIs, the financing supports our pathway to net zero by 2030 while reinforcing our commitment to building efficient digital infrastructure that creates long-term value for our customers, communities and investors."

Lender backing

The size of the syndicate points to broad lender appetite for established data centre operators with large anchor assets. It also reflects the growing use of sustainability-linked and green structures in infrastructure finance, as borrowers seek to tie funding costs to environmental benchmarks.

International Finance Corporation positioned the deal within the broader need to support digital growth with tighter environmental standards. Its involvement also adds weight in a market where governments and investors are balancing digital investment against resource constraints.

Vikram Kumar, Regional Industry Director for Infrastructure and Natural Resources, Asia Pacific, International Finance Corporation, said: "Digital infrastructure is becoming increasingly important to economic development and competitiveness, and it must be built sustainably. We're pleased to partner with AirTrunk on this landmark financing, which demonstrates how development capital can support energy efficient infrastructure that strengthens Malaysia's digital economy while delivering measurable environmental outcomes. This Green Loan also delivers blue impact through the implementation of water efficiency technology defined as per IFC Blue Finance Guidelines Version 2.0."

Bank participants said the structure reflected investor demand for projects with clear reporting on environmental performance. Several lenders also pointed to Malaysia's position as a growing hub for cloud and AI infrastructure in the region.

Antoine Rose, Head of Sustainable Banking for Asia-Pacific and Middle East, Crédit Agricole CIB, said: "We're proud to support AirTrunk once again as Green Loan Coordinator on this landmark transaction. As sustainable finance continues to evolve, investors increasingly demand financing structures that link capital with transparent environmental performance. This facility demonstrates how innovative financing can help accelerate the delivery of efficient digital infrastructure while supporting Malaysia's ambitions to become a leading digital economy."