SOS Limited (NYSE: SOS) announced on September 18, 2026, that its wholly owned Singapore subsidiary, Future Digital Trading Pte. Ltd., has entered into a non-binding Framework Cooperation Memorandum with an Indonesian company to explore the development of an approximately 500-megawatt wholesale AI and cloud data center campus in the Galang Batang Special Economic Zone on Bintan Island, Riau Islands Province, Indonesia. The memorandum, signed on September 15, 2026, marks a significant strategic step for the New York-listed company as it seeks to pivot toward digital infrastructure in one of Asia's fastest-growing technology corridors.
The agreement outlines preliminary principles for cooperation covering land and power arrangements, a funding mechanism, and a six-month due diligence period. If the project proceeds as contemplated, the first phase of construction is expected to deliver approximately 50MW of capacity. The campus would be designed to adopt a wholesale colocation model, offering large, dedicated, high-density data halls to hyperscale and AI customers under long-term arrangements. SOS said it has already received indicative, non-binding expressions of interest totaling approximately 180MW from prospective tenants, including certain global cloud, internet, and AI platforms, though these remain subject to negotiation, definitive customer contracts, and credit support.
The Galang Batang Special Economic Zone sits within the Singapore–Johor–Riau growth corridor and offers sub-2-millisecond connectivity to Singapore, where land and power constraints have driven demand spillover into neighboring Malaysia and Indonesia. Under the memorandum, the local partner will use commercially reasonable efforts to secure no less than 60MW of effective power capacity prior to commissioning of the first phase. The framework contemplates a ten-year coal-index-linked pricing formula intended to provide competitive, market-responsive electricity costs, though final power pricing and terms remain subject to negotiation and execution of definitive power supply documentation.
"This memorandum represents an important step in SOS's strategy to expand into digital infrastructure," said Yandai Wang, Chairman and Chief Executive Officer of SOS Limited. "Southeast Asia is experiencing significant growth in AI data center demand, and Bintan offers proximity to Singapore with potentially lower power and land costs and special-economic-zone advantages. Subject to successful completion of due diligence and definitive documentation, we believe a 500MW platform could position the Company to participate in a growing infrastructure market."
If the project advances, SOS currently expects to fund the platform through an equity and project-finance structure, with senior debt expected to be arranged with institutional lenders. As of December 31, 2025, SOS reported total assets of approximately US$465 million and shareholders' equity of approximately US$423 million, with a low leverage profile. The Company believes its NYSE listing, U.S. GAAP reporting, and cross-border compliance framework, combined with its partners' local resources, provide a strong foundation to execute the project and meet the requirements of international lenders and tenants. However, no financing arrangements have been finalized, and the ultimate capital structure, financing terms, partners, and amounts remain subject to completion of due diligence and negotiation of definitive agreements.
"Our approach is disciplined: secure power arrangements, develop relationships with potential customers, build in modular phases, and pursue financing supported by contracted revenue," added Mr. Wang. "We will move deliberately through diligence and definitive documentation, and we look forward to updating shareholders as milestones are achieved."
The memorandum is non-binding except for certain specified provisions, including those relating to representations and warranties, the framework agreement deposit, confidentiality, binding effect, and governing law. The project remains subject to completion of due diligence, negotiation and execution of definitive agreements, financing, and applicable regulatory approvals. The final investment structure, equity percentages, valuation, board arrangements, and exit mechanisms are to be determined in subsequent definitive documents. There can be no assurance that the transaction will be completed, that any phase will be built at the scale or timing described, or that the expected financial results will be realized.
The initiative underscores the broader trend of AI-driven data center demand reshaping Southeast Asia's digital infrastructure landscape, as hyperscalers and cloud providers seek capacity outside traditional hubs constrained by land scarcity and power limitations. Should SOS successfully execute its Bintan vision, it would join a growing roster of developers racing to establish AI-ready campuses across the region, though the path from non-binding memorandum to operational facility remains long and contingent on regulatory, financial, and commercial milestones.
SOS Limited Signs Framework Memorandum for Planned 500MW AI Data Center Campus in Indonesia's Bintan Island
By: IDCNOVARegion: Southeast Asia