Megawide Construction Corp. said Wednesday it signed a shareholder deal for a venture that will invest, acquire, develop, build or operate data center assets, with an estimated total project cost of $300 million, or P16.5 billion in local currency.
The listed construction company will partner with Evolution Data Centres Pte. Ltd., Evolution Data Centres Philippines Inc., and Evolution DC Capital PTE Ltd.
The project involves the long-term development of a 69-megaWatt colocation data center in Cavite, with the first phase covering a 23-megawatt deployment spread over 5 years inside a 4-hectare property.
The venture is still subject to the approval of the Philippine Competition Commission, and the fulfillment of the closing conditions that should be fulfilled by the parties within 120 days, Megawide said.
Megawide and Evolution Data Pte will enter into subscription agreements for shares in operating company and in a company that will hold the land where the data centers will be built. Megawide is expected to own approximately 49 percent and 60 percent of the outstanding capital stock of operating company and the company that will own the land, respectively.
The project strengthens Megawide’s pivot towards infrastructure, particularly in the digital arena.
