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IJM Construction secures RM1.4 billion fast‑track data centre contract in Johor

  • 2 min read
  • IJM Corporation Berhad

PETALING JAYA, August 20, 2025 -- IJM Construction Sdn Bhd (“IJM Construction”), a wholly‑owned subsidiary of IJM Corporation Berhad (“IJM”), has been awarded a RM1.4 billion contract for the construction of a large‑scale data centre facility in Johor Bahru.

The fast‑track project comprises a six‑storey data centre building with integrated office facilities and a refuse and recycling facility. With a gross floor area of approximately 62,000 square metres, IJM Construction will deliver the full civil and structural works using a pre‑cast system, columns, beams and hollow core slabs, supported by steel structures for mechanical and electrical (M&E) plant installations.

The building is designed to achieve LEED Gold and GreenRE Platinum certifications, and includes a distinctive green wall façade with integrated irrigation. These sustainability elements complement advanced construction methods to deliver long‑term operational efficiency.

This is the largest data centre project undertaken by IJM Construction and marks its fourth data centre project in Johor, which is emerging as a strategic hub for hyperscale and enterprise facilities supporting AI, cloud computing and digital services in Southeast Asia.

The project is scheduled for completion in September 2026, within a 13-month timeline.

Dato’ Lee Chun Fai, Group CEO & Managing Director, IJM Corporation Berhad, said:

“This project win demonstrates IJM Construction’s ability to deliver complex, high‑specification facilities on accelerated schedules. By applying our core strengths in structural delivery and execution, we are able to meet the demands of today’s hyperscale data centre market for speed, quality and scalability.

Questions around this news

  1. What does the Johor data centre construction contract include?

    The contract covers civil and structural work for a six-storey data centre with integrated offices and a refuse and recycling facility. The release describes a gross floor area of about 62,000 square metres, a precast structural system, and supporting steel structures for mechanical and electrical plant installations. The building is designed to pursue LEED Gold and GreenRE Platinum certifications and includes a planted façade with irrigation.

  2. When is the Johor data centre project expected to be completed?

    The release gives a scheduled completion date of September 2026 and describes the construction timeline as 13 months. It characterizes the work as fast-track, but does not provide further details about project milestones or how the schedule will be managed.

  3. What is a hyperscale data centre?

    A hyperscale data centre is a large facility built to provide substantial computing and storage capacity, often for cloud platforms and other digital services. Its infrastructure is designed to scale as demand grows, with extensive power, cooling, networking and operational systems to support large numbers of servers.

  4. What does LEED Gold certification indicate?

    LEED is a green-building rating system that evaluates areas such as energy and water use, materials, indoor environmental quality and site practices. Gold is one of its certification levels. The release says the facility is designed to achieve LEED Gold; it does not say that certification has already been awarded.

  5. What is a precast concrete system?

    In precast construction, concrete components are produced in a controlled setting, then transported to the building site and assembled. Elements such as columns, beams and floor slabs can be made this way. The approach can shift some work away from the site, while installation still requires careful planning and coordination.

We are also seeing stronger emphasis on environmental performance, with certifications and green features becoming standard in data centre design. Our role is to ensure these evolving requirements are met with reliability and precision.

The rapid growth of AI, cloud services, and high‑density computing is driving unprecedented investment in Malaysia’s digital infrastructure. Johor’s position as a key regional node makes projects like this critical, and IJM is well‑placed to deliver the capacity and performance that operators require.”

This latest data centre win adds RM1.4 billion to IJM Construction’s order book, bolstering it from RM7.6 billion as at 31 March 2025 to RM9.2 billion. The pipeline includes multiple data centres, electrical and electronic (E&E) manufacturing facilities, and logistics hubs, sectors driving IJM’s growth in high‑value industrial and digital infrastructure.

—End—

About IJM Corporation Berhad

IJM Corporation Berhad (“IJM”), formed in 1983, today ranks as one of Malaysia’s leading conglomerates with an international footprint forged by its four core businesses: construction, property development, industry (quarrying and the manufacture of building materials) and infrastructure concessions. IJM holds leading positions across all its business divisions. Its growth is the direct result of strong leadership, dedicated employees, financial prudence and commitment to good governance and quality.

The Group presently has a market capitalisation of around RM10.61 billion and as of March 2024, the Group employed around 3,500 employees and had total assets of RM21.8 billion.

For more information, visit www.ijm.com

For media enquiries, please contact:

Ms. Mandy Chen, Corporate Communications, at [email protected] or + 60 12 607 6121

Mr. Shane Guha Thakurta, Investor Relations, at [email protected] or + 60 3 7985 8041

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At a glance

Company
IJM Construction Sdn Bhd
Announcement
Award
Location
Johor Bahru, Malaysia

Key figures

Contract value
RM1.4 billion
Gross floor area
approximately 62,000 square metres
Project timeline
13-month
Scheduled completion
September 2026
Construction order book before award
RM7.6 billion as at 31 March 2025
Construction order book after award
RM9.2 billion

People

  • Dato’ Lee Chun FaiGroup CEO & Managing Director, IJM Corporation Berhad

Products and programs

  • Large-scale data centre facility
  • Integrated office facilities
  • Refuse and recycling facility

Earlier from IJM Corporation Berhad

  1. IJM releases financial results for year ended 31 March 2025
  2. IJM completes 50% equity acquisition in JRL Group to accelerate UK growth
  3. IJM-owned 25 Finsbury Circus secures international law firm as anchor tenant
  4. IJM reports 12.9% net profit growth in Q3 FY2025, construction to continue positive momentum
  5. Groundbreaking Ceremony for Exio Logistics Hub in City of Elmina A green and technology-driven facility strengthening Malaysia’s logistics infrastructure
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