TECO Electric & Machinery Co., Ltd. finalized a major acquisition agreement with Dynaciate Engineering Sdn. Bhd. on the 25th. This strategic transaction positions TECO for exponential AIDC revenue growth in the coming year. The Taiwanese firm invested approximately MYR 200 million, or around USD 50.8 million, in the deal. Consequently, TECO now holds approximately 78% equity ownership in the Malaysian engineering company.
This transaction represents a very significant step in the growth of technology infrastructure in Southeast Asia. Dynaciate will be used by TECO as the worldwide manufacturing base for their modular data center systems. This will also act as the engineering base for local infrastructure developments. The huge plant is situated in Johor Bahru, Malaysia. Its size is about 36,000 square meters. The plant includes eight steel manufacturing facilities. Moreover, it enjoys export tax benefits internationally.
Strategic Advantages of the Malaysian Manufacturing Hub
During the official signing ceremony, TECO Chairman Morris Li discussed the clear operational benefits of this partnership. Through the deep integration of both companies, TECO has significantly enhanced the execution efficiency and overall in-house manufacturing ratio of its modular prefabrication capabilities. In particular, the collaboration has successfully shortened data center delivery timelines to as little as six months through its core power modules (the StellarForge Module) and generator modules (the PowerWarden Module), creating a distinct advantage in rapid deployment and accelerating the commercialization of data centers.
Dynaciate CEO Ng Kim Thiea noted that his company is honored to enter this growth phase. Dynaciate possesses deep experience in steel fabrication and industrial projects for multinational firms. The company expanded into data center engineering in 2025 through projects for international CSP clients.
TECO believes there will be amazing changes in finances due to this new acquisition. Around 65% of future revenue will come from prefabricated products. The remaining 35% will come from AI data center engineering projects. This development directly fuels exponential AIDC revenue growth across global markets. Data center revenue in the Power & Energy Business Group will climb rapidly. The segment share will jump from under 10% to 30% this year. Consequently, this division becomes a key growth driver.
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News Source: PRNewswire.com
