PETALING JAYA: AIZO Group Bhd’s subsidiary, Wawasan Demi Sdn Bhd, has executed Islamic facilities agreements with Bank Pembangunan Malaysia Bhd of up to RM346.19mil, to support the development of a large-scale solar photovoltaic or LSSPV plant in Kampar, Perak.
In a statement, the civil engineering firm said said the total facilities comprise a Tawarruq Asset Financing (TWA) facility of up to RM256mil, alongside bank guarantee facilities totalling approximately RM90.19mil, which will primarily support project execution requirements and contractual obligations under the power purchase agreement with Tenaga Nasional Bhd
(TNB).
“The TWA facility will be used to part-finance up to 80% of the engineering, procurement, construction and commissioning costs of the project, while the bank guarantee facilities will serve as performance guarantees in favour of TNB for project delivery milestones.
“While the facilities will increase the company’s gearing levels upon full utilisation, AIZO maintains a prudent approach to capital management and expects the project to contribute positively to future earnings as it transitions into the operational phase.”
Looking ahead, AIZO said it remains focused on executing the Kampar solar project efficiently while continuing to explore opportunities within the renewable energy and infrastructure space, in line with national energy transition policies and growing demand for clean power solutions.
