DayOne raises RM15 billion in green financing to develop Johor data centres
OCBC, in a statement on Wednesday (Jun 11), said the financing facility comprises a RM7.5 billion Murabahah term financing facility and a US$1.7 billion offshore term loan. (Murabahah term financing is a method of financing following Islamic finance principles, in which a bank or financial institution sells an asset to a customer at a cost-plus-profit price, rather than charging interest.)
Structured under Green Loan Principles, the proceeds will be used for refinancing and capital expenditure for DayOne's data centres that meet or are expected to meet LEED 'Gold' certification or higher, in line with the United States Green Building Council's standards. (LEED is Leadership in Energy and Environmental Design.)
The deal drew strong interest from among local and international banks, achieving an oversubscription of two times, said OCBC.
OCBC Bank (Malaysia) and its parent, the Singapore-based Oversea-Chinese Banking Corporation, acted as joint coordinator, mandated lead arranger and bookrunner (MLAB), as well as green financing coordinator; OCBC Bank was also the joint syariah adviser.
Tan Chor Sen, chief executive officer at OCBC Bank, said: 'As a key MLAB, we supported DayOne with one of the highest underwriting commitments, reflecting our commitment to fostering a sustainable future that aligns with our leadership in responsible finance.'
OCBC's senior banker and head of investment banking, Tan Ai Chin, said the innovative 'double-green' structure – merging Islamic and ESG financing – sets a new benchmark for the market. 'We remain dedicated to delivering tailored ESG financing solutions to support sustainable digital infrastructure ecosystems,' she said.
Other participating MLABs were CIMB Investment Bank, CIMB Bank Singapore, Crédit Agricole Corporate & Investment Bank, DBS Bank, Maybank Investment Bank, Standard Chartered Bank Singapore, United Overseas Bank and UOB Malaysia.
Headquartered in Singapore, DayOne is a fast-growing global digital-infrastructure platform with operations across Tier-1 and emerging markets, including Malaysia, Indonesia, Thailand, Japan and Hong Kong.
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