Privasia to Lead Bagan Datuk Data Centre Development Independently, With Mara Providing Strategic Support

KUALA LUMPUR (Nov 12): Privasia Technology Bhd (KL:PRIVA) will now take full responsibility for the development of its planned data centre in Bagan Datuk, Perak, moving away from its earlier joint-venture plan with Mara Inc, the investment arm of Majlis Amanah Rakyat (Mara).

In a filing with Bursa Malaysia, the digital and outsourcing solutions group announced that its wholly owned subsidiary Silver Streams Technofarm Sdn Bhd will spearhead the entire project. This includes funding, feasibility studies, design, construction, operations and managing the long-term land lease with Felcra Bhd.

Mara Inc to Provide Strategic Facilitation, Not Equity Partnership

Although Mara Inc is no longer a JV partner, Privasia said the agency will continue to play an important supporting role. Mara will assist in:

• Government relations

• Regulatory clearances

• Utility coordination

• Land matters

• Securing onboarding of government-linked clientele

To ensure alignment throughout the 30-year collaboration period, a project steering committee will be established. Privasia added that an annual profit distribution of 10% will be implemented, and the collaboration may be extended upon mutual agreement.

The shift reflects a broader trend where data centre operators and tech infrastructure players increasingly seek independent control over project execution—similar to the growing investor appetite for industrial land in Selangor, industrial property in the Subang area, and scalable tech-enabled logistics spaces near KL, where data-driven developments are gaining traction.

30-Year Land Lease Signed With Felcra

Privasia also confirmed that it has entered into a 30-year renewable land lease with Felcra for the future data centre site. The rental structure includes:

• RM150,000 first-year commitment fee

• RM303,000 annual rental for years two and three

• RM606,000 to RM1.5 million annual rental from year four onwards

• Mandatory minimum 5% increase every five years

This long-term lease offers stability for large-scale infrastructure, similar to long-tenure commercial planning seen in high-growth corridors such as commercial property in KL, and transit-adjacent pockets near office space in Bukit Jalil and factory clusters in Puchong.

Market Response

Privasia’s shares closed at eight sen, up half a sen or 6.67%, giving the company a market value of RM50.66 million. Despite the uptick, the counter remains down more than 33% year to date.

The data centre sector continues to expand rapidly across Malaysia, driven by cloud demand, AI-related workloads and the spillover effect from Singapore’s restricted data centre quota—factors that have also boosted investor interest in industrial-oriented real estate across the Greater KL region.