Divfex Bhd’s 51%-owned Excel Commerce Solutions Sdn Bhd has secured a new RM18.5 million contract to supply and install data centre equipment systems for Extreme Broadband Sdn Bhd. The agreement, announced in a Bursa Malaysia filing, signals continued momentum for the subsidiary in Malaysia’s data centre sector. The project is slated to begin this month and run through to August, underscoring a structured delivery timeline that aligns with the company’s project execution capabilities and client expectations. This development follows Excel Commerce Solutions’ previous engagement with Extreme Broadband, a deal signed in August 2024 worth RM46.6 million for similar data centre equipment systems work. The latest award demonstrates a sustained relationship with Extreme Broadband and reinforces Excel Commerce Solutions’ role in the Malaysian IT outsourcing and data centre infrastructure ecosystem.
Overview and Contract Details
Divfex Bhd is the parent company of Excel Commerce Solutions Sdn Bhd, which holds a 51% stake in the subsidiary and operates as a key driver of the group’s strategic expansion into data centre infrastructure. The newly awarded letter of award valued at RM18.5 million confirms the scope to supply and install complete data centre equipment systems, a turnkey package that encompasses hardware provisioning, installation, integration, and on-site commissioning where required. The project is expected to commence within the current month, marking the start of a defined project lifecycle that leads to completion in August. This schedule implies a tightly coordinated deployment plan, with milestones aligned to customer readiness, site preparation, equipment delivery, configuration, testing, and final handover.
The contracting party, Extreme Broadband Sdn Bhd, remains a principal player in Malaysia’s IT services landscape, with a multi-faceted portfolio that includes system integration, application development, and network consultancy services. Extreme Broadband’s service offerings extend to data centre management, disaster recovery services, maintenance support, and other IT-related services, positioning the company as a one-stop provider for enterprises pursuing robust, scalable IT and data centre infrastructures. The interplay between Excel Commerce Solutions’ equipment supply capabilities and Extreme Broadband’s service ecosystem creates a complementary value proposition for customers seeking end-to-end data centre solutions.
From a corporate perspective, the award strengthens Divfex’s visibility in the data centre equipment market and underscores the strategic relevance of its 51%-owned subsidiary in delivering high-value, capital-intensive projects. The RM18.5 million contract adds to the group’s order book for data centre equipment systems and reinforces its capability to execute sizable, complex deployments for enterprise clients in Malaysia. The deal also highlights Divfex’s ongoing commitment to expanding its footprint in IT outsourcing and infrastructure services through a structured portfolio of collaborations with established local system integrators and technology providers.
Investment considerations for shareholders and market observers will focus on the recurring revenue potential, project execution risk, and the impact of this award on future growth. The RM18.5 million engagement complements the prior RM46.6 million contract secured in 2024, suggesting a track record of successful collaboration with Extreme Broadband and the ability to secure repeat business from the same client across multiple project cycles. While the scale of the current award is substantial, investors will also assess the margin profile, procurement costs, and potential for additional ancillary services beyond the initial deployment.
As the project unfolds, Divfex’s management team will likely emphasize the combination of technical capability, supplier relationships, and delivery discipline that underpin successful data centre implementations. The company’s strategic emphasis on owning and operating a 51%-stake in a specialized IT outsourcing and data centre solutions provider positions it to capture value through a steady stream of contract wins and execution excellence.
Corporate Background and Strategic Implications
Excel Commerce Solutions Sdn Bhd, established in 2005, operates within Malaysia’s competitive IT outsourcing and data centre infrastructure market. The company’s core focus on supplying and implementing data centre equipment systems positions it at the nexus of rising demand for scalable, high-performance data centres that can support digital transformation and cloud-based workloads for Malaysian enterprises. As a majority-owned subsidiary of Divfex Bhd, Excel Commerce Solutions benefits from the broader corporate backing and capital resources of the parent company, enabling it to pursue large-scale deployments and negotiate favorable terms with equipment suppliers and system integrators.
The strategic alignment between Divfex and Excel Commerce Solutions centers on expanding the group’s footprint in data centre infrastructure, a sector characterized by steady growth, technology refresh cycles, and the need for robust disaster recovery and business continuity capabilities. By securing a new RM18.5 million contract from Extreme Broadband, Excel Commerce Solutions demonstrates its capacity to translate a long-standing relationship into additional project opportunities, effectively building a pipeline of work that reinforces revenue visibility and profitability for the subsidiary and the group at large.
From a governance and risk perspective, the structure of the deal—where a 51%-owned entity is executing the project under a letter of award—underscores the importance of clear contract management, scope control, and intercompany coordination. Divfex’s role as the parent company suggests oversight over financial performance, risk management, and fulfillment timelines, ensuring alignment with group-wide targets and reporting requirements. For Excel Commerce Solutions, the contract represents not only revenue but also a potential platform for deepening technical capabilities in data centre design, equipment integration, and end-to-end support services that may extend beyond the initial award.
Industry analysts often view such engagements as indicators of an established player’s ability to capture complex, multi-faceted projects that require integration of servers, storage, networking, cooling, and power provisioning within a data centre environment. The RM18.5 million value, while substantial, must be considered in the context of project risk, supply chain reliability, and the customer’s evolving requirements over the deployment horizon. A well-executed project could position Excel Commerce Solutions as a dependable partner for future data centre upgrades and expansions, potentially unlocking opportunities in related IT outsourcing and managed services.
Market Context and Industry Impact
Malaysia’s data centre landscape has evolved rapidly as enterprises accelerate digital transformation, adopt hybrid cloud strategies, and demand resilient IT infrastructure. The demand for data centre equipment systems—comprising servers, storage, networking gear, power distribution, cooling solutions, and monitoring platforms—has remained robust, driven by the need for scalable capacity, lower latency, and robust disaster recovery capabilities. In this environment, contractors and system integrators with proven execution capabilities in data centre projects are well-positioned to secure repeat business from enterprise customers looking to consolidate IT infrastructure providers and streamline procurement.
Excel Commerce Solutions’ involvement in data centre equipment deployment aligns with broader market trends toward end-to-end solutions. Customers increasingly prefer integrated packages that cover the design, supply, installation, testing, commissioning, and ongoing maintenance of data centre infrastructure. The collaboration with Extreme Broadband exemplifies a model where a systems integrator or service provider partners with a specialized equipment supplier to deliver turnkey solutions that meet exacting standards for uptime, redundancy, and performance.
For Divfex, the award signals a diversified approach to revenue generation, leveraging the strengths of its 51%-owned subsidiary to participate in capital-intensive projects with substantial contract values. The company’s strategy appears to balance equity stakes in service-oriented IT businesses with opportunities in infrastructure hardware deployment, thereby broadening its earnings base and reducing reliance on any single revenue stream. In the Malaysian market, such diversification can help stabilize earnings, particularly in a sector where project-based work can yield sizeable, time-bound revenue that is subject to timing and client cycles.
From a competitive standpoint, the data centre equipment market features several players, including local system integrators and global equipment suppliers. The ability to secure and deliver RM18.5 million worth of equipment systems indicates that Excel Commerce Solutions has established relationships with key suppliers and has the capacity to manage complex procurement and logistics. The project’s completion by August also reflects a disciplined project management capability, an essential attribute in a market where installation phases must align with customer readiness and data centre commissioning windows.
Additionally, the ongoing collaboration with Extreme Broadband can be seen as a strategic asset, reinforcing a long-term client relationship and creating opportunities for cross-sell into related IT services, including data centre management, disaster recovery planning, and maintenance support. If the client’s needs expand beyond the initial deployment, Excel Commerce Solutions could be well positioned to capture additional work as the client’s data centre footprint grows or undergoes further modernization.
Operational Execution and Timeline
The contract’s timeline—commencement this month with completion targeted for August—implies a multi-phase execution plan. In the initial phase, procurement activities are likely to focus on the timely acquisition of data centre equipment systems that meet specified performance, redundancy, and compatibility requirements. The subsequent installation phase would involve on-site deployment, integration with existing IT environments (where applicable), and rigorous testing to verify interoperability, reliability, and failover capabilities. Commissioning would be a critical milestone, ensuring that the data centre equipment systems operate in harmony with the client’s network architecture and disaster recovery protocols.
Operational excellence will be essential to meeting the August completion target. Excel Commerce Solutions will need to adhere to strict project governance practices, including change management processes, quality assurance checks, and risk mitigation strategies to address potential supply delays, integration challenges, or site-specific constraints. The parent company, Divfex, may provide oversight to ensure alignment with corporate objectives and to safeguard shareholder value through transparent project reporting and milestone tracking.
The involvement of Extreme Broadband as the contracting party suggests that the project benefits from a provider with broad capabilities in system integration and IT services. The collaboration likely leverages Extreme Broadband’s experience in data centre management and ongoing support, which can enhance the overall value delivered to the client. This can translate into smoother post-deployment maintenance, rapid issue resolution, and a more resilient data centre environment for the client, which in turn reinforces client satisfaction and the potential for additional future engagements.
From a supply chain perspective, the RM18.5 million value indicates a substantial procurement effort. The project may involve multiple equipment categories, including core data centre hardware, power and cooling solutions, rack and cabling, and accompanying software licenses or management platforms. Ensuring compatibility with the client’s existing infrastructure and meeting compatibility standards will be crucial. The ability to manage warranties, service level agreements, and maintenance schedules will also play a key role in the long-term success of the project and may influence future contract opportunities.
Previous Engagement and Track Record
Excel Commerce Solutions previously secured a similar contract from Extreme Broadband in August 2024, valued at RM46.6 million, for the supply and installation of data centre equipment systems. This prior engagement demonstrates a established working relationship between the two companies and provides a baseline for expectations regarding delivery quality, schedule adherence, and post-implementation support. The repeated collaboration suggests that the client was satisfied with the outcomes of the earlier project, potentially setting the stage for continued partnership and increased project scopes in the future.
A history of successful project delivery in data centre deployments can enhance Excel Commerce Solutions’ reputation within Malaysia’s IT outsourcing and infrastructure market. For Divfex, this track record strengthens confidence among investors and stakeholders that the group can secure meaningful contracts and translate them into measurable value for shareholders. The consistency of winning assignments from Extreme Broadband, particularly in large-scale engagements, reflects positively on the subsidiary’s capabilities and the broader group’s potential to capitalize on recurring business from established clients.
From a corporate development standpoint, the RM46.6 million contract in 2024, followed by the RM18.5 million award in 2025, underscores a pattern of sustained demand for data centre equipment systems in Malaysia. This pattern, if continued, could contribute to a recurring revenue stream and a more predictable revenue trajectory for Excel Commerce Solutions and Divfex. The consistency of repeat business with a single client can also help in negotiating favorable terms, securing better procurement arrangements, and achieving economies of scale across future projects.
About the Parties: Excel Commerce Solutions and Extreme Broadband
Excel Commerce Solutions Sdn Bhd is a Malaysia-based provider specialized in IT outsourcing services and data centre equipment systems deployment. The company’s incorporation in 2005 positions it with a long-standing presence in the market, enabling it to leverage experience, relationships, and technical know-how to deliver complex IT infrastructure projects. As a 51%-owned subsidiary of Divfex Bhd, Excel Commerce Solutions benefits from the parent company’s resources and strategic direction while maintaining a broad mandate to deliver data centre solutions in collaboration with clients and partners.
Extreme Broadband Sdn Bhd operates in the broader field of information technology services, offering system integration, application development, network consultancy, data centre management, disaster recovery services, and maintenance support. The company’s portfolio reflects a comprehensive approach to IT services that encompasses design, implementation, and ongoing management of critical IT assets. By engaging Excel Commerce Solutions for data centre equipment deployment, Extreme Broadband can consolidate its service offerings, enabling end-to-end delivery that integrates hardware provisioning with software, networks, and support services.
The collaboration between these two entities represents a practical model for enterprise IT deployments, where a system integrator partners with a hardware supplier to deliver a complete solution. This synergy can help clients reduce procurement fragmentation, streamline project governance, and accelerate time-to-value for data centre modernization initiatives. The ongoing partnership signals a shared commitment to delivering reliable, resilient infrastructure that underpins business continuity and digital transformation for Malaysian enterprises.
Risks, Timelines, and Execution
While the RM18.5 million award is positive news for Divfex and Excel Commerce Solutions, stakeholders will consider several risk factors and execution considerations. The project’s successful delivery hinges on timely procurement, efficient installation, and seamless integration with the client’s existing IT environment. Any delays in equipment delivery, customization needs, or site readiness constraints could impact the schedule and potentially affect the project’s profitability.
Supply chain dynamics in the technology sector can present challenges, including fluctuations in component availability, pricing changes, and logistical complexities. Effective vendor management, clear contractual terms, and strong project governance will be essential to mitigating these risks and ensuring adherence to the August completion target. The company’s ability to manage risk, coordinate with Extreme Broadband, and maintain adherence to budgeted costs will be critical factors in realizing the expected financial benefits from the contract.
From a financial perspective, the RM18.5 million contract contributes to revenue recognition as the project progresses, subject to the company’s accounting policies and project milestones. The impact on Divfex’s and Excel Commerce Solutions’ financial statements will depend on how revenue is recognized for this contract and the associated costs incurred to date. Investors will also watch for potential margins, given the capital-intensive nature of data centre deployments, and for any potential overhead absorption from related projects that could affect profitability.
The project’s scope may include elements beyond hardware deployment, such as installation services, commissioning, and post-deployment support. If these elements are included within the contract, Excel Commerce Solutions might realize additional revenue streams through maintenance, service contracts, or extended warranties. This potential for ancillary revenue could improve the project’s overall profitability and contribute to a more balanced earnings mix for the company over the project lifecycle.
Longer-term implications include the potential for deeper collaboration with Extreme Broadband on future data centre initiatives. Successful execution and demonstrated performance could pave the way for additional contracts or extension opportunities, reinforcing a strategic partnership that benefits both parties. Such outcomes would be consistent with a broader market trend where established IT service providers seek to cultivate durable relationships with large enterprise clients by delivering reliable project outcomes and continuous support.
Financial and Shareholder Considerations
Market observers often focus on the implications of new contract wins for a company’s valuation, earnings potential, and growth trajectory. For Divfex Bhd, the award to its 51%-owned subsidiary signals a tangible expansion of its data centre solutions business, with a meaningful contract value that contributes to the group’s top-line growth. The company’s market capitalization, in the context of the latest share price and trading activity, provides a snapshot of how investors perceive the group’s ability to convert contracted opportunities into revenue and ultimately into earnings growth.
Shareholder sentiment could be influenced by several factors, including the scale of the RM18.5 million award, the quality and durability of the client relationship with Extreme Broadband, and the ability to meet project milestones within budget. The historical context of the RM46.6 million contract from 2024 suggests that the group has successfully managed complex deployments and delivered results that meet client expectations, which can bolster investor confidence in future project wins and revenue stability.
In terms of liquidity and capital allocation, Divfex’s engagement with Excel Commerce Solutions for large-scale data centre deployments could have implications for the group’s cash flow management and working capital needs. Depending on the structure of the contract and the payment terms with Extreme Broadband, the group may experience improvements in revenue recognition timing, cash inflows associated with milestone completions, and the flexibility to reinvest in additional equipment, capacity, or organizational development. These dynamics may influence future capital allocation decisions, including potential reinvestment into growth initiatives or the pursuit of further strategic acquisitions or partnerships within the IT infrastructure sector.
From a governance perspective, timely disclosure of contract details, milestones, and performance metrics supports transparent communication with shareholders and the market. The company’s public filings and market disclosures help investors assess execution risk, management capability, and the likelihood of meeting project deadlines. Given the dynamic nature of technology projects, ongoing updates and milestones can provide a narrative thread that reassures investors about progress and potential upside from the new contract.
Conclusion
Divfex Bhd’s strategic push into data centre infrastructure is underscored by the new RM18.5 million contract awarded to its 51%-owned subsidiary, Excel Commerce Solutions Sdn Bhd, to supply and install data centre equipment systems for Extreme Broadband Sdn Bhd. The agreement builds on a recent precedent set by an earlier engagement in August 2024 worth RM46.6 million, highlighting a proven track record of delivering large-scale data centre deployments and reinforcing the credibility of Excel Commerce Solutions as a reliable partner for complex IT infrastructure projects in Malaysia.
The project’s timeline, with start in the current month and completion targeted for August, points to a disciplined execution plan. The collaboration with Extreme Broadband combines Deep technical capability with system integration expertise, aiming to deliver end-to-end data centre solutions that meet stringent uptime and performance requirements. For Divfex and its investors, the development signals a potential for recurring opportunities in data centre deployment, enhanced client relationships, and a wider platform for growth within Malaysia’s IT outsourcing and infrastructure services sector.
As the market continues to evolve toward more sophisticated and resilient data centre ecosystems, the ongoing partnership between Excel Commerce Solutions and Extreme Broadband may serve as a blueprint for future collaborations that blend hardware provisioning with comprehensive IT services. The RM18.5 million award, in addition to the earlier RM46.6 million engagement, reinforces the value proposition of Divfex’s strategic model and positions the group to pursue further opportunities within Malaysia’s rapidly expanding data centre landscape.
