Industry News

Southeast Asia’s data centre sector has seen a dramatic surge in equity funding, with approximately $11.5b raised across 19 rounds since 2024, according to a report by Tracxn. This influx of capital, largely driven by the rising demand for AI infrastructure, has made 2026 the largest funding year on record, with $4.7b raised year-to-date.

The report highlights that the top five companies—DayOne, Princeton Digital Group, ST Telemedia GDC, Nxera, and Digital Edge—account for 98% of the total equity funding. All are headquartered in Singapore, which serves as the financial hub for the sector. DayOne leads with $6.4b, followed by Princeton Digital Group at $2.2b.

Singapore’s role as a financing domicile is significant, though the actual deployment of data centres spans the wider region. For instance, DayOne has committed over $7b to Malaysia and is developing a 72MW campus in Indonesia. Meanwhile, Princeton Digital Group operates across six markets, including Japan and India.

The sector has also witnessed notable acquisitions, such as the $5.2b transaction involving ST Telemedia GDC. Additionally, DayOne has filed for a US IPO, aiming for a valuation of approximately $20b.

The report underscores the institutional nature of the capital, with investments from sovereign wealth funds, pension capital, and infrastructure firms. This financial backing is crucial as data centres transition from construction to operational phases, offering predictable cash flows under long-term leases.

JTC has awarded the tender for a Purpose-Built Dormitory (PBD) at Lok Yang Way to Westlite Dormitory (S II) Pte. Ltd. The contract, valued at $221.66m was finalised after the tender closed on 23 June 2026, attracting 10 bids. The site, released by the Ministry of Manpower and Ministry of National Development on 31 March 2026, is designated as a Civic & Community Institution.

The awarded land parcel at Lok Yang Way spans 28,441.3 square metres and comes with a 30-year tenure. The project is set to provide a maximum bed space for 5,000 occupants, with a completion timeline of 36 months. This development is part of the government’s ongoing efforts to enhance living conditions for workers through purpose-built accommodations.

The successful bid by Westlite Dormitory highlights the competitive interest in developing infrastructure that supports Singapore’s workforce. The project is expected to address the growing demand for quality housing solutions for workers, aligning with national objectives to improve community living standards.

As the project progresses, it will be closely monitored to ensure timely completion and adherence to the stipulated guidelines. The development at Lok Yang Way is anticipated to set a benchmark for future dormitory projects in Singapore.

ComfortDelGro Corporation Limited, in partnership with French public transport operator RATP Dev, has been awarded a contract to operate and maintain the Copenhagen Metro. The contract, valued at approximately S$3.4b, spans 12 years with an option to extend for an additional three years. Operations are set to commence in September 2027.

The Copenhagen Metro, a fully automated network, covers 43 kilometres across four lines and 44 stations. This marks ComfortDelGro’s second rail operation in Scandinavia, following their previous contract for the Stockholm Metro. The metro system, which carried a record 135 million passengers in 2025, is renowned for its high-capacity, driverless operations running 24/7.

ComfortDelGro’s Managing Director and Group CEO, Cheng Siak Kian, highlighted the significance of this achievement, stating, “This selection demonstrates how the rail expertise we have built in Singapore can be scaled into a repeatable model for international markets.” The collaboration with RATP Dev is the third of its kind, following successful projects in Paris and Singapore.

The contract supports Metroselskabet’s ambition to maintain a safe, reliable, and sustainable metro system as Copenhagen continues to grow. ComfortDelGro Chairman Mark Greaves emphasised the strategic importance of expanding their international public transport portfolio, noting that this move into Copenhagen is a crucial step in their Scandinavian expansion.

This development extends ComfortDelGro’s international rail footprint, with their network now exceeding 420 kilometres globally. The company continues to build on its reputation for delivering high-quality, automated metro services worldwide.

Singapore’s drive to cultivate an accountancy profession proficient in artificial intelligence (AI) is rapidly advancing, with over 15,000 accountants and finance professionals enrolling in the Institute of Singapore Chartered Accountants (ISCA) AI Fluency Programme within just two months of its launch. This initiative is part of a national effort to build practical AI capabilities across the profession.

The ISCA AI Fluency Programme aims to equip 60,000 accountancy and corporate finance professionals over the next three years. It focuses on developing professionals who can effectively integrate AI capabilities with their technical expertise and professional judgement. The programme includes more than 180 practical AI use cases and over 600 learning activities, covering roles such as audit, finance, tax, and governance.

Participants, ranging from students to senior business leaders, have shown strong interest, with over 250 earning their AI Fluency digital badge. Nearly 80 have completed the full 30-hour course, earning recognition as AI Champions. The programme has received positive feedback, with an average rating of 4.85 out of 5.

Employers, including EY, Deloitte, and DBS, are supporting the initiative, recognising the importance of AI fluency in an increasingly AI-enabled economy. The Accountant-General’s Department has enrolled over 400 officers, with plans to expand to 4,000 public sector finance and audit officers.

ISCA is also preparing to expand the programme regionally, with versions in Chinese, Thai, and Vietnamese. The programme will continue to evolve, incorporating new AI tools and industry developments to ensure professionals remain current. ISCA President Lee Boon Teck emphasised that AI will enhance, not replace, professional judgement, stating, “The strong response to the AI Fluency programme demonstrates that our profession is ready to embrace this next chapter.”

Singapore and Brazil have inked a Memorandum of Understanding (MOU) to create the Singapore-Brazil Green and Digital Shipping Corridor (GDSC). The agreement, signed by Singapore’s Minister for Transport, Jeffrey Siow, and Brazil’s Minister of Ports and Airports, Tomé Franca, aims to bolster cooperation in maritime decarbonisation and digitalisation, promoting more sustainable and efficient international shipping.

The collaboration leverages Brazil’s substantial renewable energy resources and production capabilities, which are pivotal for producing zero and near-zero greenhouse gas emission marine fuels. Meanwhile, Singapore, as the world’s largest bunkering port and a leading global hub port, offers a vibrant innovation ecosystem. The GDSC will unite these strengths to develop alternative marine fuel supply chains.

Additionally, the MOU outlines plans for digital information exchanges to enhance maritime and port operations. Both nations will collaborate with industry stakeholders to advance research, development, and adoption of emerging maritime technologies and solutions.

This partnership marks a significant step towards sustainable shipping, combining the unique capabilities of both countries to address environmental challenges in the maritime sector. The initiative is expected to pave the way for future advancements in green and digital shipping technologies, potentially setting a precedent for other international collaborations in the industry.

Eneco Energy Limited has announced a substantial improvement in its financial performance for the fiscal year 2026, with net profit soaring to S$1.88m from S$0.10m in the previous 18-month period. The company has also proposed its first-ever dividend, with a payout of nearly 50% of profit after tax, under the leadership that began in December 2024.

The logistics division, RichLand Logistics Services, remains the primary revenue driver, contributing S$3.22m in segment profit. Overall revenue increased by 7.6% year-on-year to S$34.03m, reflecting enhanced operational performance and contributions from subsidiaries. Cash reserves saw a significant boost, rising by S$11.28m to S$27.82m as of 30 June 2026.

Executive Director Ang Jun Long expressed optimism about the company’s trajectory, stating, “We are encouraged by the Group’s performance in FY2026, with both revenue and profitability recording year-on-year improvements.” He highlighted the company’s focus on operational efficiency and strategic growth, which has laid a stronger foundation for future expansion.

Looking forward, Eneco plans to strengthen its logistics core and pursue growth opportunities whilst maintaining cost discipline. The company is also advancing its fleet electrification, with nearly 20% of its fleet now electric, and has announced plans to acquire industrial property to bolster its long-term growth platform. The proposed acquisition is located at 15 Gul Way, Singapore, and includes facilities to support logistics operations.

fileAI, an enterprise intelligence company, has received investment from SMBC Asia Rising Fund and Singtel Innov8 to support its expansion in Japan and the launch of fileScout, a proprietary unstructured data mapping solution. This investment marks a significant step as artificial intelligence (AI) becomes integral to major enterprises across Asia, addressing complex operational challenges.

The funding will enable fileAI to strengthen its presence in Japan, building a local team across sales, engineering, and customer success. It will also deepen fileAI’s capabilities in financial services, enhancing its AI-native platform for managing complex, high-volume data workflows. The investment aligns with fileAI’s mission to transform fragmented documents and unstructured data into governed, dependable workflows.

Christian Schneider, CEO of fileAI, stated, “AI will become an operating layer for every major enterprise, but that future cannot be built on fragmented data, unreliable outputs, or endlessly expanding computing costs.” The investment underscores fileAI’s ambition to become a global enterprise AI leader from Asia, helping regional businesses become AI-enabled.

Boon Ping Chua, Managing Director of Singtel Innov8, expressed excitement about the investment, highlighting the growing need for reliable data foundations to support AI adoption. Mayoran Rajendra, Managing Director of AI Transformation at SMBC, emphasised the importance of fileAI’s capabilities in improving data accessibility and operational efficiency.

With this investment, fileAI aims to further connect with Asia’s corporate ecosystems, driving innovation and practical AI use cases across industries. The company is poised to play a crucial role in the AI era, particularly in banking and financial services, where applications extend to statement extraction, KYC cheques, and regulatory reporting.

Aedge Group Limited has announced a return to profitability for the financial year ending 30 June 2026, reporting a net profit of S$2.4m. This marks a significant turnaround from a net loss of S$0.9m in FY2025. The group’s revenue increased by 36.9% year-on-year to S$38.4m, with notable growth in its Engineering Services and Investment Properties segments.

The Engineering Services segment saw a 57.6% rise in revenue to S$12.4m, attributed to new contract wins and completed projects. Meanwhile, the Investment Properties segment more than doubled its revenue, reaching S$3.5m, following improved occupancy and the commencement of rental income from a new dormitory facility.

Gross profit for FY2026 more than doubled to S$7.6 million, with the gross profit margin expanding by 6.7 percentage points to 19.7%. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) also increased significantly to S$6.5m.

Executive Chairman and CEO, Poh Soon Keng, highlighted the company’s strategic focus on contract selection and asset utilisation as key factors in achieving these results. “This reflects the progress we have made in strengthening the fundamentals of the business,” he stated.

In line with its new dividend policy, Aedge declared an interim tax-exempt dividend of 0.57 cents per share, representing approximately 43% of net profit after tax. This dividend is set to be paid on 15 September 2026.

Looking ahead, Aedge anticipates continued growth in FY2027, supported by a strong pipeline of contracts and the expansion of its dormitory operations. The company remains vigilant about potential cost pressures, particularly in labour costs, as it seeks to build on its recent successes.

Aster has announced its acquisition of a strategic interest in Changi Airport Fuel Hydrant Installation Pte. Ltd. (CAFHI), marking its entry into the aviation fuels market. This move will enable Aster to supply aviation fuel directly to international airlines at Singapore Changi Airport, pending necessary approvals and conditions.

The acquisition is a significant expansion of Aster’s mobility and energy platform, integrating its refining and storage operations with its growing capabilities in both conventional and sustainable aviation fuels (SAF). Aster is collaborating with Aether Fuels to develop a next-generation SAF facility at Pulau Bukom and is also exploring a commercial-scale ethanol-to-jet SAF facility on Jurong Island with Keppel’s Infrastructure Division.

Andre Khor, Deputy CEO of Aster, stated, “The CAFHI strategic interest acquisition represents an important step in Aster’s expansion into aviation fuels. Combined with our refining and storage operations and growing capabilities in sustainable aviation fuel, it strengthens our position to support the evolving energy needs of aviation in Singapore and the region.”

CAFHI plays a crucial role in providing storage and distribution facilities for aviation fuel at Changi Airport, one of the world’s leading aviation hubs. Its shareholders include major international energy companies, underscoring its importance in the regional aviation fuel ecosystem.

This strategic investment positions Aster to broaden its participation across the aviation fuels value chain, supporting the future evolution of aviation fuels and mobility in Singapore and the region. The transaction is subject to the requisite approvals and customary closing conditions.

Singapore’s services sector experienced a significant increase in business receipts, rising by 25.5% in the second quarter of 2026 compared to the same period last year. This growth excludes the Accommodation, Finance & Insurance, and Real Estate Developers industries. Notably, the Wholesale Trade and Transportation & Storage industries were the primary drivers of this surge.

The Wholesale Trade industry saw a remarkable 27.8% increase in sales, largely due to the demand for electronic components and petroleum products. Meanwhile, the Transportation & Storage industry recorded a 26.5% rise in turnover, bolstered by high sea freight rates and increased activity in water transport.

On a quarter-on-quarter basis, the services sector’s business receipts grew by 16.9%, with Wholesale Trade alone reporting an 18.6% increase. However, not all industries shared in this growth. The Recreation & Personal Services sector experienced a 2.5% decline year-on-year, primarily due to reduced revenue from arts, sports, and recreational activities.

The Education sector also faced challenges, with a 13.4% decrease in receipts from the previous quarter, attributed to lower tuition fee collections by universities.

Overall, the services sector’s business receipts were estimated at $1,583b, with $263b excluding Wholesale Trade. This data provides valuable insights into the short-term performance of Singapore’s services industries, guiding business and policy decisions. As the sector continues to evolve, these trends highlight the dynamic nature of Singapore’s economy and its resilience in the face of changing market conditions.