SKS Technologies (ASX:SKS) has announced its receipt of a US$90M contract to assist building out an international hyperscale data centre in Mebourne alongside Built Inclusive.
The company did not name which data centre it will be working on but clarified it is taking part in a 100MW expansion to an existing data centre to bring that asset up to a capacity of 185MW, which would then indicate one of Australia’s largest.
The news also means SKS’s work on hand currently reflects a record high of $178M. The company described this as “considerable” on Friday. SKS will largely handle electrical systems for the centre where its expansion is involved.
Hyperscale refers to a class of data centre which, in short, is able to handle unfathomable amounts of data in record time – think something similar to a ‘supercomputer’ but intended for business.
Amazon, Google, Microsoft and IBM are all examples of ‘hyperscalers’ in the US context to help paint a picture of the money such assets require.
“This project enables the continuation of our relationship with Built, a substantial and innovative construction company with expertise in a range of areas including data centres,” SKS CEO Matthew Jinks.
“Furthermore, based on past initiatives to apply our expertise and experience to the data centre market and capture a share of this rapidly growing opportunity, SKS Technologies is now able to execute sophisticated, large-scale [projects.]”
The market apparently feels the same – one year returns for SKS are up 675%.
SKS last traded at $1.15.