Data Center Projects Likely to Drive Malaysian Construction Sector in 2H

Dow Jones
07/15

0055 GMT - Malaysia's construction activity is expected to remain strong in 2H, driven by data center projects, with several major contracts likely to be awarded in coming months, Hong Leong IB analyst Brian Chin says in a note. He also expects a recovery in residential construction as developers resume new launches, while public infrastructure projects, including the Penang light rail transit and major water supply schemes, are expected to support contract flows. The sector's valuations have also become more attractive following a sector-wide selloff triggered by the Iran war, he adds. Hong Leong maintains an overweight rating on Malaysian construction sector, pegging Sunway Construction and IJM Corp. as top picks.(yingxian.wong@wsj.com)

 

(END) Dow Jones Newswires

July 14, 2026 20:55 ET (00:55 GMT)

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