KUALA LUMPUR - VCI Global Limited (NASDAQ:VCIG) has secured a $22 million contract to provide sovereign AI infrastructure to Codetext (BVI) Limited, a regional software development and intelligence-driven national security solutions company. The deal comes as VCI Global demonstrates strong financial fundamentals, with InvestingPro data showing impressive gross profit margins of 54% and robust revenue growth of 37% over the last twelve months.
The agreement, announced Tuesday through VCI Global's cybersecurity subsidiary V Gallant Limited, involves delivering a full-stack sovereign AI system with military-grade encryption at both chip and storage levels. The system will utilize NVIDIA-powered compute systems for secure, high-performance AI operations that remain jurisdictionally contained without relying on third-party cloud providers.
The infrastructure package includes QuantVault encrypted data storage, QTrustCard PCIe encryption accelerator, SecureGPU compute systems, and on-premise AI orchestration platforms for large language model training and inference.
Codetext, which works with government agencies and regulatory bodies across the region, will use this infrastructure to ensure regulatory compliance and operational independence while safeguarding intellectual property.
"The future of AI requires trust, and that starts with infrastructure," said Dato' Victor Hoo, Group Executive Chairman and CEO of VCI Global, according to the press release statement.
The global AI infrastructure market is projected to reach approximately $197.6 billion by 2030, growing at a 17.7% compound annual growth rate, while Southeast Asia's data center investments are expected to reach $17.7 billion by 2029, according to industry forecasts cited in the announcement. VCI Global appears well-positioned to capture this growth, with InvestingPro analysis indicating the company maintains excellent financial health with a current ratio of 9.36 and minimal debt. According to InvestingPro's Fair Value analysis, the stock currently appears undervalued.
VCI Global's system is designed to maintain data sovereignty by keeping information within jurisdictional boundaries with chip-level encryption for every transaction, allowing clients to deploy high-performance AI solutions while meeting security, privacy, and compliance requirements. The company's strong execution is reflected in its financial metrics, with InvestingPro data showing a healthy return on assets of 13% and solid cash flow generation.
In other recent news, VCI Global Limited has secured a $22 million contract for sovereign AI infrastructure through its subsidiary, V Gallant Limited. This agreement with Codetext (BVI) Limited includes the delivery of a comprehensive AI system featuring military-grade encryption and NVIDIA-powered compute systems. Additionally, VCI Global has launched a new subsidiary, VCI Energy Limited, aimed at clean energy and infrastructure projects, with Victor Lee, former Managing Director of Franklin Templeton, appointed as CEO.
The company has also formed a joint venture backed by 18,000 bitcoin, valued at approximately $2.16 billion, to focus on asset tokenization and encrypted storage services. VCI Global will hold a 70% equity stake in this venture. Following the ASEAN AI Summit 2025, VCI Global announced multiple enterprise commitments and government-level proof-of-concept projects, showcasing its encryption and AI technologies. Furthermore, the company has secured a convertible note financing facility of up to $51 million, with $20 million allocated to bitcoin acquisition as part of its digital treasury reserve strategy. The remaining funds will support the deployment of AI infrastructure and expansion in cybersecurity, AI, and fintech sectors across Southeast Asia.