The outlook of the solar industry is further enhanced by the strong support from the local government, whereby various policies and programmes were implemented to accelerate investment shifts towards renewable energy.
According to Independent Market Researcher, Protégé Associates Sdn Bhd, the total solar PV installed capacity in Malaysia is set to grow at a compound annual growth rate of 50% during the period of 2018 to 2023, he added.
“The upward growth trajectory of the renewable energy industry in Malaysia will undoubtedly provide Solarvest new growth opportunities, especially in the LSSPV segments. In addition to that, all solar contractors for engineering, construction and commissioning of Large-Scale Solar 3 (LSS 3) projects are now required to be 100% local. Malaysian solar contractors, including Solarvest, stand poised to benefit from this positive development,” he further added.
The Group is optimistic that the listing exercise will position Solarvest to better harness the rising market opportunities in the solar sector, as well as enabling it to gain access into the capital markets for its future growth.
Solarvest will be raising approximately RM34.6 million from its IPO, of which RM19.2 million or 55.5% will be utilised for the Group’s working capital for daily operations and future projects.
RM3.0 million or 8.7% will be for its geographical expansion in the domestic and international markets. Locally, the Group will spread its footprint in the Southern region of Peninsular Malaysia, pursuing business opportunities in Negeri Sembilan, Melaka and Johor. Beyond Malaysia, Solarvest plans to enter into new markets, namely Vietnam and Taiwan.