Zhi Sheng lands USD $590 million loan for Thailand AI hub

Zhi Sheng Group has announced a USD $590 million loan facility for an AI data centre project in Thailand. The funding is for Haoyang Data Centre 1, part of the group's target acquisition portfolio.

The facility has a term of more than seven years and is provided by a Thai bank. It will fund construction of a self-owned hyperscale AI data centre in Thailand's Eastern Economic Corridor, where the project has already secured land, water and power infrastructure.

Haoyang Data Centre 1, known as HYDC1, spans about 140,302 square metres in the government-backed development zone. Zhi Sheng said the land title deed has been secured, core utility connections are substantially complete, and the project has moved into substantive construction.

First-phase delivery is scheduled to begin in early 2027, with completion targeted within six months. That phase is expected to account for about one-third of HYDC1's total planned capacity.

The financing adds to an existing commercial base that includes a long-term customer agreement. In July, HYDC1 signed a 10-year colocation services contract with an international internet company covering the first of the project's three phases.

Zhi Sheng said the contract is worth about USD $1.6 billion, excluding electricity charges. It is estimated that the deal will account for roughly one-third of the total rental revenue expected once HYDC1 is fully completed.

The project sits in a fast-growing market for regional data centre investment, particularly in Southeast Asia, where operators have sought sites with access to land, power and water. Thailand's Eastern Economic Corridor has attracted a series of industrial and infrastructure projects as the country seeks to build strategic sectors.

"We are honoured to receive the bank's support and to work with Mr. Chatchaval as our trusted partner in Thailand. His extensive business experience and established local network are helping us build an AI data centre that meets local requirements and is suited to the Thai market. Based on our current assessment, our delivery timetable remains unchanged. Our priority is to complete first-phase delivery on the timetable outlined today. This is only the first phase - we intend to advance phases two and three in line with customer requirements and conditions in Thailand, drawing on Mr. Chatchaval's local expertise and business relationships to support execution. Our focus is to deliver sustainable cash flows and long-term value for our financial partners and shareholders," Mr. Lai Ningning, Chief Executive Officer and Executive of Zhi Sheng Group, said.

Local partner

A central figure in the Thailand project is Mr. Chatchaval Jiaravanon, Chairman of HYDC1 and a strategic partner of Zhi Sheng. The company described him as one of its largest shareholders and said he has supported the development through local business relationships and market knowledge.

Chatchaval is a member of the family that controls Charoen Pokphand Group, one of Asia's largest conglomerates, and also owns Fortune magazine. His involvement links the project to one of Thailand's most prominent business families at a time when foreign and regional investors are looking for local partners to navigate land, utility and regulatory requirements.

In his remarks, he put the loan at USD $580 million, differing from the USD $590 million announced by Zhi Sheng in its deal summary. The announcement gave no explanation for the discrepancy.

Mr. Chatchaval Jiaravanon, Chairman of HYDC1, said: "We thank the bank for supporting HYDC1 and Thailand's AI infrastructure development. For investors assessing the financing model for AI data centres, this seven-year US$580 million facility is tangible evidence of bank support for our project. We see the bank's commitment as a vote of confidence - in HYDC1's economic viability and compliance framework, in our team's execution capabilities, and in our target of completing first-phase delivery within six months of this announcement. Our focus now is on turning that confidence into delivery. With strong regional demand for AI computing capacity, we continue to see potential in developing self-owned data centres, and look forward to deepening our collaboration with Zhi Sheng Group across Asia."

Zhi Sheng is listed in Hong Kong and focuses on developing, owning and operating artificial intelligence data centre infrastructure. The group said its strategy spans mainland China and Southeast Asia, with computing campuses in Inner Mongolia and Rayong, Thailand.

The latest financing gives the Thailand project a clearer capital structure as it moves deeper into construction. It also tests whether long-term contracted revenue and utility readiness can support debt funding for large AI-focused data centres in the region.