TECO Electric & Machinery Co., Ltd. announced today (May 12) that its Board of Directors has approved the acquisition of Malaysian engineering company Dynaciate Engineering Sdn. Bhd. (“Dynaciate”). The transaction is expected to involve an investment of approximately MYR 200 million (approximately USD 50.8 Million) and is scheduled to close in August this year. Upon completion, TECO will hold a controlling stake in Dynaciate and expects to begin recognizing related revenue and profits in the second half of this year.
TECO stated that the acquisition is a key strategic initiative to accelerate the Group’s transformation into an “AI Data Center Solutions Provider,” while further expanding its capability to secure modular data center (Modular Data Center, MDC) engineering projects and grow its data center infrastructure business across Southeast Asia.
Founded in 2002 and headquartered in Johor Bahru, Malaysia, Dynaciate primarily provides engineering and construction services, steel structure fabrication, and maintenance and retrofit services. The company also operates its own manufacturing facilities and possesses strong competitive advantages in piping and steel structure prefabrication. Beginning in 2025, Dynaciate has started undertaking data center engineering projects for international cloud service provider (CSP) clients.
TECO noted that Dynaciate’s large-scale manufacturing facilities, together with its advanced piping and steel structure prefabrication capabilities, will support TECO in scaling up MDC mass production and project execution, while enhancing its ability to undertake data center projects for CSP customers. The acquisition is also expected to strengthen TECO’s control over the supply chain, shorten delivery lead times, and improve competitiveness in the global data center infrastructure market.
In response to AI-driven changes reshaping the industrial landscape, TECO has evolved from an electromechanical equipment manufacturer into a “module and system integrator,” proactively positioning itself to compete in emerging market opportunities. The newly acquired Dynaciate, possessing a multinational technical workforce, will enhance TECO’s flexibility in cross-border project execution and workforce deployment, further expanding its engineering service capabilities across Southeast Asia and better supporting the global expansion needs of international CSP clients.
