Kasikorn Securities (KS) wrote that Gulf Development Public Company Limited (SET: GULF) has secured a major client for its flagship 100 MW data center project, known as GEDC01 (previously GSA03).
The project is currently under development and situated in Thailand’s Eastern Economic Corridor (EEC) and significantly reduces demand risk. Commercial operations are targeted to commence by the end of 2027.
The shareholder structure for GEDC01 comprises GULF holding a 70% stake and Advanced Info Service Public Company Limited (SET: ADVANC) owning 30%. This joint venture further strengthens the partnership between the two companies in the rapidly growing digital infrastructure sector.
GEDC01 stands out as the largest among GULF’s data center projects, surpassing the combined capacity of GSA01 (25 MW) and GSA02 (38 MW). According to the securities firm, all three projects have been included in their financial forecasts, emphasizing the strategic importance of GEDC01 in GULF’s digital expansion.
GULF’s management has outlined ambitious growth plans, with a target to expand data center capacity to between 1,000 and 2,000 MW within the next 3–5 years. This anticipated expansion is driven by surging demand from AI, cloud, and hyperscale customers. KS views this as a significant potential upside that could be a catalyst for a business re-rating, given the higher growth trajectory of digital infrastructure compared to GULF’s traditional power generation business.
KS maintains a “Buy” recommendation on GULF, with a target price of THB 67 per share.
