Singapore’s Sembcorp has received approval from the Vietnamese government to invest in the construction of a 90MW data center in Ho Chi Minh City.

Sembcorp’s investment, the amount of which was not disclosed, will come through its joint venture StarMason, formed with Vietnamese conglomerate BB Holdings.

StarMason has said that it now “plans to progress evaluation and detailed development planning.”

The data center will span 4.5 hectares in Saigon Hi-Tech Park, a tech park located in the eastern portion of Ho Chi Minh City, and it will be built in phases.

Sembcorp has also stated that the facility will be designed to meet the Tier III classification.

Vietnam has been pushing to expand its data center footprint. The country’s government loosened its data center investment rules in July 2024, allowing foreign investors to own data centers in the country.

Sembcorp is a renewable energy developer with a focus on the APAC region.