KUALA LUMPUR, 29 October 2025 — Mah Sing Group Berhad has officially confirmed that its second collaboration agreement with Bridge Data Centres Malaysia V Sdn Bhd (BDC) for the development of a large-scale data centre in Southville City, Bangi, will lapse. The agreement covered a 35.68-acre site aimed at supporting up to a 200 MW power capacity data-centre hub.
Key Facts & Context
- The partnership with BDC was announced in October 2024 covering the 35.68-acre plot (termed “Project 2”) in the Mah Sing DC Hub@Southville City, Bangi.
- The exclusivity period for that agreement expired on 28 October 2025, and with no definitive agreement signed by that date, the collaboration will not proceed under the original terms, Mah Sing confirmed.
- Mah Sing had earlier announced the lapse of its first collaboration (Project 1) covering a 17.55-acre site designated for up to 100 MW with BDC, due to the expiry of its exclusivity period on 30 May 2025.
Implications for Mah Sing and Malaysian Data-centre Strategy
The lapsed agreement raises three core issues for Mah Sing and for investors tracking Malaysia’s digital-infrastructure ambitions:
- Execution Risk & Timing
Although the land parcels remain strategically located and infrastructure appears to have been largely prepared, the inability to finalise a binding deal suggests challenges in aligning with hyperscale/data-centre operator requirements, negotiations or funding timetable. Mah Sing will now need to seek new partners or alternative business models (e.g., outright land sale, build-to-lease) to monetise the landbank. - Strategic Value of Landbank
The Southville City site remains a potentially valuable asset given the surge in demand for data-centre capacity, especially in Southeast Asia. However, its value is contingent on forging the right partner, and the lapsed deal could imply a delay in value realisation for Mah Sing’s shareholders. - Signal for Malaysia’s Data-centre Ambitions
The lapse may serve as a signal to the market that while Malaysia is making strides in attracting data-centre investment, the path from land-acquisition to committed operator partner remains complex. For regional investors and infrastructure players, execution remains king even in high-demand sectors.
Outlook & What to Watch
- Partner Search: Investors should monitor how quickly Mah Sing secures a new strategic partner for the site, and under what model (JV, BTL, land sale).
- Financial Impact: While the immediate financial impact may be limited (given that Mah Sing has not recognised major upfront investment), any delay in monetisation prolongs holding costs and defers value creation.
- Sector Momentum: Malaysia’s broader data-centre ecosystem remains positive, but individual project setbacks highlight the importance of execution, infrastructure readiness, and operational commitment by large-scale operators.
- Landbank Utilisation: Mah Sing’s ability to convert its landbank into earnings growth will remain an investor focus, particularly as the company balances its core property-development operations with new infrastructure-led value-creation.
