Starting the collaboration with BDC, Mars Technology Group ventures into the datacenter sector.

Mah Sing Group announced that it is officially entering the hot datacenter field.

The company today launched a datacenter plan called "Mah Sing DC Hub@Southville City", with the first phase being a collaboration with Bridge Data Centres (BDC) to build the first datacenter with a power consumption of up to 100 megawatts (MW).

According to the press release, Mah Sing Group has reserved 150 acres of land in its Southville City project in Selangor to create a leading domestic datacenter park with a total power consumption of up to 500 megawatts.

As Mah Sing Group's first partner in the datacenter field, BDC is primarily controlled by Bain Capital, and the two companies will build the first datacenter with a power consumption of up to 100 megawatts on a 17.55-acre land in Southville City.

Mah Sing Group stated that the collaboration with BDC is just the beginning.

"We will plan Mah Sing DC Hub@Southville City as a comprehensive and large-scale digital infrastructure ecosystem, including retail, enterprise services, AI hosting, telecom network services, etc., to meet the needs of various businesses."

Mah Sing Group founder and managing director Tan Sri Leong Hoy Kum, as well as BDC Vice President of Asia Pacific Solutions Fang Guowei, also attended the signing ceremony.

He emphasized the strategic importance of this collaboration project. "This investment demonstrates the shift in Mah Sing Group's strategic direction, diversifying our revenue sources beyond property development."

He added that Southville City is a perfect location for building a datacenter park, forming a triangle with Bukit Jalil and Cyberjaya.

In addition to Southville City, other underground properties of Mah Sing Group, such as MSS Business Park in Sepang, are also close to the submarine cable landing station being built in Morib by Telekom Malaysia (TM, 4863, main board services), thus having the potential for future collaboration in similar datacenter projects.

Southville City is the largest comprehensive urban development project of Mah Sing Group in the Klang Valley region, covering a total area of 428 acres.

Believed to be encouraged by this good news, Mah Sing Group's stock price surged positively today, reaching a peak of 14% to RM1.74 at its highest level of the day.

At the close of the market, Mah Sing Group reported RM1.72, up 20 sen or 13.76%, with a volume of 54.46 million shares.

Expectations are high for the 2.5 billion sales target for the whole year.

The company also announced its performance today, recording property sales of RM890 million in the first 5 months of 2024, and is expected to achieve the full-year sales target of RM2.5 billion.

The group's net profit for the first quarter of the fiscal year 2024 (ending in March) was 60.05 million ringgit, a year-on-year increase of 20.0%; while revenue was reported at 0.55821 billion ringgit, a year-on-year decline of 13.25%.

According to the statement, the decline in first-quarter revenue is mainly attributed to the fact that a higher proportion of newly sold construction projects are in the initial stage. It is expected that as the projects progress, the group will gradually recognize more revenue.

Given the good progress of construction and property projects in 2024, the group expects further growth in the fiscal year 2024 and will deliver better performance.

In addition, the group holds an optimistic view of the prospects of its property development business and believes it will continue to create value for stakeholders.

Liang Haijin stated, "2024 is a good start for the group. In the first 5 months of this year alone, our property sales have reached 0.992 billion ringgit."

Thanks to the stable progress of the group's construction, its revenue, profitability, and cash flow are driving the strong balance sheet of the group.

As of the end of March, Mah Sing Group's unrecorded sales reached 2.32 billion ringgit, and the profit momentum for the fiscal year 2024 is expected to remain strong.