PGF Capital's wholly owned subsidiary, PGF Global Distribution Sdn Bhd, has signed a five-year agreement with Centria Building Material Manufacturing (Shanghai) Co Ltd granting PGF Global exclusive distributorship rights for its mineral wool sandwich panels, or thermal insulated panels in Malaysia.

KUALA LUMPUR (July 17): PGF Capital Bhd (KL:PGF) said it has entered into a deal to serve as the Malaysian distributor of a Chinese company's mineral wool sandwich panels, which are suitable for wall facades in data centres.

PGF Capital said its wholly owned subsidiary, PGF Global Distribution Sdn Bhd, has signed a five-year agreement with Centria Building Material Manufacturing (Shanghai) Co Ltd (Centria International), granting PGF Global exclusive distributorship rights for Centria International’s mineral wool sandwich panels, or thermal insulated panels in Malaysia.

“They [mineral wool sandwich panels] offer excellent thermal performance, crucial for maintaining optimal temperatures in data centres, which helps in reducing cooling costs and energy consumption,” PGF Capital said in a bourse filing on Wednesday.

“The fire-resistant properties of mineral wool core panels enhance the safety of data centres by mitigating the risk of fire spread. Furthermore, the rapid and efficient installation process of sandwich panels aligns with the fast-paced construction timelines often required for data centres,” it added.

Centria International primarily supplies insulated panels for industrial and commercial projects.

PGF Global executive director and group chief executive officer Fong Wern Sheng said the collaboration is expected to enhance market position and drive revenue expansion by unlocking new market opportunities for the group.

“We see substantial opportunities as Malaysia undergoes a significant boom in data centre development, spurred by the rising demand for digital services and cloud computing. The mineral wool sandwich panels are particularly well-suited as wall facades for these data-centric facilities,” he said.

The collaboration may also pave the way for the potential joint establishment of a local manufacturing facility to produce insulated panels with both glass wool and stone wool core options, he added.

Shares in PGF Capital closed one sen or 0.44% higher at RM2.26 on Wednesday, valuing the company at RM438.26 million.