TMTPOST -- Chinese data center operator GDS Holdings Ltd. is pursuing a $3.4 billion-equivalent loan to support its data center operations in Malaysia, according to sources familiar with the matter. If secured, this would be the company’s largest loan to date and among the biggest financings in the sector by any Asian borrower. GDS’s international arm, DayOne—formerly known as GDS International—is targeting a five-year facility. The loan would consist of a $1.7 billion tranche and a 7.5 billion ringgit ($1.7 billion) tranche, which is being syndicated to the broader market, sources said. Malaysia is emerging as a key hub for Asia’s growing demand for data centers, driven by the rise of artificial intelligence. The southern state of Johor, located near Singapore, hosts around 30 completed or ongoing projects, with 20 more pending approval. Major investors include Microsoft Corp. and ByteDance Ltd.