business

Kinergy Advancement acquires MSSB to expand sustainable energy solutions

KUALA LUMPUR: Kinergy Advancement Bhd's (KAB) wholly-owned subsidiary KAB Energy Holdings Sdn Bhd (KEH) has acquired Matahari Suria Sdn Bhd (MSSB) for RM5.3 million to expand its sustainable energy solutions portfolio further.

KAB executive deputy chairman and group managing director Datuk Lai Keng Onn said by completing the acquisition of MSSB, and the company have further expanded its solar photovoltaics (PV) portfolio in line with the growth strategy of its SES segment. 

"The acquisition is anticipated to contribute positively to KAB's financial performance until 2037.

"With the government's ambitious target of increasing the renewable energy (RE) capacity by 70 per cent by 2050, it indicates significant potential for expansion in the SES segment. 

"As we move forward, we will identify more opportunities in solar PV and other renewable sources to accelerate the growth of our SES segment and enhance our long-term earnings profile," he said in a statement today.

MSSB owns a solar PV system on the rooftop of Universiti Teknologi Malaysia Kuala Lumpur and has an ongoing RE power purchase agreement to supply energy to Tenaga Nasional Bhd (TNB) under a feed-in tariff concession until 2037.

KAB's SES segment contribution to the financial performance is rising in tandem with the company's commitments to expanding its SES portfolio. 

KAB currently has 17 SES projects and an expanding geographical presence in Southeast Asia, namely Thailand and Indonesia.

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