Keppel's JV acquires data centre in Malaysia
Securus Data Property Fund Pte. Ltd. (Securus Fund) has completed the acquisition of an 80% stake in a data centre located in Selangor, Malaysia, Keppel Corp. press release said.
Securus Fund is jointly managed by Keppel Data Centre Investment Management Pte. Ltd. (Keppel DCIM), a wholly-owned subsidiary of Keppel Telecommunications & Transportation Ltd (Keppel T&T), and AEP Investment Management Pte. Ltd. (AEPim).
The data centre is a freehold, high quality facility strategically located in Cyberjaya, a technology park that forms a key part of the Multimedia Super Corridor in Malaysia. It is situated about 50km south of the capital city of Kuala Lumpur. The remaining 20% stake in the data centre is owned by a company within the Basis Bay Group.
The fourth asset in Securus Fund's portfolio, the Tier-III+ data centre has a long-term lease agreement with Basis Bay Services, a managed service provider in Malaysia.
Bruno Lopez, Executive Director of Keppel DCIM and Co-Fund Manager of Securus Fund, said, "Malaysia is one of the fastest growing economies in ASEAN. With the data centre industry earmarked as one of the growth drivers for the Malaysian economy in the government's Economic Transformation Programme, we believe that acquiring the data centre at Cyberjaya will position Securus Fund to benefit from this growth."
Jonathan King, Principal and Director of AEPim and Co-Fund Manager of Securus Fund, said, "We are very excited about entering Malaysia's fast-growing data centre market with the addition of this quality asset to our portfolio. With a long-term, high quality tenant, we are confident that this acquisition will provide a very stable income flow to the Fund."
The purpose-built facility has excellent fibre connectivity to all the major carriers and has access to secured power sources. Through the use of natural lighting, ducted fresh air system and double-walled structures to minimise direct heat exposure, the data centre is designed for maximum energy efficiency.
Earlier this year, Securus Fund extended its footprint to the United Kingdom by acquiring the GV7 data centre in London. Last year, in Australia, the Fund also acquired a 70% stake in Gore Hill Data Centre in Sydney and a 70% stake in iseek Data Centre in Brisbane.
About Securus Data Property Fund Pte. Ltd. (Securus Fund)
Securus Data Property Fund Pte. Ltd. (Securus Fund) is the world's first Shariah-compliant data centre fund jointly managed by Keppel Data Centre Investment Management Pte. Ltd. (Keppel DCIM) and AEP Investment Management Pte. Ltd. (AEPim).
Keppel Telecommunications & Transportation Ltd (Keppel T&T) and AEP Capital Ltd, part of Saudi Arabia-based Al Rajhi Holding Group, are co-sponsors of Securus Fund. Securus Fund's initial closing was achieved at US$100 million with institutional investors from the Middle East and Asia, including a Brunei institution Perbadanan Tabung Amanah Islam Brunei (TAIB) as a cornerstone investor.
Securus Fund intends to acquire a high quality portfolio of data centre assets across its target markets in Asia Pacific, Europe and the Middle East and will consider both existing income generating data centre assets and development opportunities. The Fund is currently assessing a number of opportunities within its target markets.
About Keppel Telecommunications & Transportation Ltd
Keppel Telecommunications & Transportation Ltd (Keppel T&T) is a subsidiary of Keppel Corporation Limited, a Singapore-headquartered multinational company with core businesses in Offshore & Marine, Infrastructure and Property.
Keppel T&T Group is a leading service provider in Southeast Asia and Europe with businesses in Logistics and Data Centres. It provides state-of-the-art data centre co-location and business contingency services. Its operations in Singapore and Dublin, through Citadel100 (a 50%-owned company), are designed to provide a high standard of security, air handling and high density resilient power. Its data centre facilities boast some of the leading international blue chip companies in the IT and managed services industry.
Keppel Data Centre Investment Management Pte. Ltd. (Keppel DCIM) is a wholly-owned subsidiary of Keppel T&T. Keppel DCIM is registered as an Exempt Fund Manager.
About AEP Investment Management Pte Ltd
AEP Investment Management Pte Ltd (AEPim) is a Singapore-based private equity real estate fund manager. Its investment focus is in developing and managing real estate strategies that comply with the principles of Shariah investments, on behalf of its principal shareholder, investor-clients and partners in the Far East and the GCC. Built on an operating platform that is now nine years in operation, Al Rajhi Holding Group holds a significant 80% shareholding and the senior management, lead by Yusof Wahid, retains the balance 20%. Apart from the Securus Fund, AEPim holds a principal-level mandate to invest in prime central London residential properties. Separately, it is in a joint venture with a GCC financial institution to invest in Saudi Arabia residential properties.
Operating its investment management activities out of Singapore, AEPim is registered as an Exempt Fund Manager and Exempt Corporate Finance Advisor under the Securities & Futures Act (Cap.289).