KWAP invests RM219mil in OSV player Cyan Renewables

KWAP chief investment officer Hazman Hilmi Sallahuddin.

PETALING JAYA: The Retirement Fund Inc or better known as KWAP has invested RM219mil for an undisclosed minority stake in Cyan Renewables, Asia’s largest owner and operator of offshore support vessels (OSVs).

In a statement yesterday, the fund noted the deal was led by Seraya Partners, a mid-market Asia-focused infrastructure investor.

It pursues a control-only platform strategy, targeting mid-market opportunities in developed Asian and South-East Asian markets. Its current assets under management total US$1.1bil across its funds and co-investment vehicles.

KWAP stated the investment aligns with the Madani Economy framework, advancing sustainability, prosperity and innovation.

“The investment in Cyan exemplifies KWAP’s commitment to achieving RM20bil in transition asset investments by 2030, furthering the Madani Economy and sustainability objectives.

“Cyan also supports the transition of legacy to clean energy by providing essential high-value services that ‘Raise the Ceiling’ and develop skilled professionals locally, which ‘Raises the Floor’”, KWAP chief investment officer Hazman Hilmi Sallahuddin said.

The investment is also part of KWAP’s commitment under the RM120bil GEAR-uP programme which is led by the Finance Ministry in synergising efforts across government-linked investment companies to catalyse growth in key economic sectors, including infrastructure, transport and renewable energy, among others.

Cyan operates 32 OSVs that serve blue-chip clients across traditional energy and offshore wind sectors, where it has over 1,000 operational wind days in offshore wind projects.

The company already generates substantial revenue from Malaysia and intends to invest up to RM1bil with KWAP to develop the OSV industry further.

It also plans to establish a regional headquarters in Malaysia and build fleet management teams in Kuala Lumpur and Miri by hiring local seafaring professionals, sponsoring cadet training and utilising local shipyards for vessel repairs and new builds to support the growth of Malaysia’s vessel industry.