Penang strengthened its position as a leading semiconductor and advanced manufacturing hub with the official opening of MKS Inc’s Super Center Factory at Bandar Cassia Technology Park in Batu Kawan.

Prime Minister Datuk Seri Anwar Ibrahim officiated the opening ceremony alongside Chief Minister Chow Kon Yeow, Deputy Investment, Trade and Industry Minister Sim Tze Tzin, MKS Inc president and chief executive officer John T.C. Lee, and other dignitaries.

Built on a 17-acre site, the 350,000 sq ft facility represents MKS Inc’s largest manufacturing investment since the company was founded in 1961. With an investment exceeding RM400 million, the project is expected to create more than 1,000 high-value jobs upon completion of all phases.

According to Chow, the new facility marks another milestone in Penang’s evolution as a global centre for semiconductor innovation and advanced manufacturing. He said the project reflects the state’s strong industrial fundamentals, including its skilled workforce, mature supply chain ecosystem and well-established infrastructure.

MKS technologies currently support more than 85% of the world’s wafer fabrication equipment applications and over 70% of key processes in package substrate and printed circuit board manufacturing, positioning the company as an important contributor to Penang’s growing semiconductor ecosystem.

Chow highlighted Penang’s strong investment performance, noting that the state secured RM4.9 billion in approved manufacturing investments in the first quarter of 2026, with foreign direct investments accounting for 70% of the total. The electrical and electronics (E&E) and machinery sectors contributed RM3.6 billion, representing 74% of approved investments.

He added that Penang remained Malaysia’s top exporting state in 2025, contributing 38.1% of the nation’s exports valued at approximately RM610 billion, driven largely by integrated circuits and other E&E products.

The chief minister also pointed to strategic initiatives supporting the industry, including the Penang Silicon Design @5KM+ ecosystem and the newly launched Penang ATE Campus, which aims to strengthen automated test equipment capabilities and nurture local talent.

Prime Minister Anwar said the opening of the MKS Super Center Factory reflects continued confidence among global companies in Malaysia and Penang. He attributed this to clear policies, efficient administration and efforts to reduce unnecessary bureaucracy.

Meanwhile, John Lee said Penang was chosen because of its vibrant semiconductor ecosystem, strategic proximity to customers and suppliers, robust infrastructure and highly skilled workforce.

“The facility represents more than an expansion of operations. It will strengthen supply chain resilience, support local economic development and create opportunities for collaboration with universities and institutions to develop future talent,” he said.

The investment further reinforces Penang’s status as a key node in the global semiconductor supply chain and highlights Malaysia’s growing appeal as a destination for high-tech manufacturing.

Eastern & Oriental Bhd (E&O) has teamed up with Cengild Medical Bhd and Skyspring Sdn Bhd to develop a multi-disciplinary tertiary private hospital within the Gurney Green district of Andaman Island, Penang.

The proposed facility, with an estimated development cost of RM350 million, will be built in two phases and is expected to accommodate about 240 beds upon completion. The project is targeted for completion by the fourth quarter of 2029.

E&O said its wholly-owned subsidiary, KCB Holdings Sdn Bhd, has entered into a conditional joint venture agreement with Cengild Medical and Skyspring for the development. Under the arrangement, KCB Holdings will hold a 30% stake in the joint venture company, while Skyspring and Cengild Medical will own 45% and 25% respectively.

The joint venture company will establish a wholly-owned operating entity to oversee the development, establishment and operation of the hospital.

Cengild Medical, known for its expertise in digestive system and abdominal health, will contribute clinical, operational and strategic management support to the project and future hospital operations.

E&O managing director Kok Tuck Cheong described the collaboration as another significant milestone in the transformation of Andaman Island into a vibrant waterfront township.

He said healthcare is an essential component of a sustainable community, adding that the proposed hospital will enhance the overall ecosystem of Andaman Island and strengthen its long-term appeal as a destination for families, professionals and retirees seeking a high quality of life.

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KLIDC land parcel at Taman Manggis (Image Source: Kwong Wah Yit Poh)

Any attempt to revive the long-delayed Kuala Lumpur International Dental Centre (KLIDC) development in George Town will require fresh applications and approvals, as all previous planning permissions have expired, Penang Chief Minister Chow Kon Yeow said.

In a statement issued today, Chow clarified that Lot 10011, Section 16, Bandar George Town, located at Jalan Zainal Abidin/Lorong Selamat, remains registered under Kuala Lumpur International Dental Centre Sdn. Bhd. (KLIDC) on a 99-year leasehold tenure expiring on April 22, 2114.

The 4,061 sq m site is designated for “building” use, with express conditions requiring 66% of the development to be used for hospital purposes and the remaining 34% for service suites and hotel components that are not intended for sale to the public. Any transfer, charge or other transactions involving the land are subject to the approval of the state authority.

According to Chow, Penang Island City Council (MBPP) had approved KLIDC’s planning permission twice, on Nov 18, 2014 and Mar 19, 2019. The latest approval involved the construction of a 21-storey mixed-use building comprising hospital facilities, a hotel, mechanical parking systems and supporting amenities.

However, checks by MBPP found that no construction or development activities have been carried out on the site to date. The council also confirmed that it has not received any new applications, amended plans or subsequent development submissions from KLIDC following the approval granted in 2019.

“As the previous planning approval has lapsed, any action to proceed with the project is subject to new applications and approvals to be submitted by the developer to MBPP,” Chow said.

Meanwhile, the state government, through the State Economic Planning Division (BPEN), has formally requested KLIDC to provide an update on the current status and future direction of the project. A letter seeking clarification was issued to the company on June 16, 2026.

The KLIDC site had previously attracted widespread public attention following earlier proposals for a mixed development that sparked legal disputes and planning controversies. The latest statement by the state government indicates that no valid planning permission currently exists and that any future development will need to undergo a fresh approval process.

KLIDC SITE:

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34-storey freehold mixed-use development within The Light Waterfront Penang in Gelugor, comprising 624 suites and 24 commercial units. Developed by Stark Development Sdn Bhd on a 2.3-acre site adjacent to the Lin Xiang Xiong Art Gallery, the project offers suite sizes ranging from 425 sq ft to 640 sq ft and incorporates smart technologies and sustainable design elements aimed at modern waterfront living.

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