OIL & Gas Service and Equipment (OGSE) firm Uzma Bhd is one step closer to finalising its negotiations on potential contracts in the solar engineering procurement construction and commissioning (EPCC) space.
This follows the completion of an acquisition of a 49% equity stake in Suria Infiniti Sdn Bhd and a 100% equity interest In Mahendran Surya Innovations Sdn Bhd (MSI) by the company’s wholly-owned subsidiary Uzma Environergy Sdn Bhd.
The proposed acquisition of both companies was first announced in early March.
Suria Infiniti is a solar engineering procurement construction and commissioning (EPCC) contractor based in Petaling Jaya (Selangor) whereas MSI is a service provider for renewable energy, especially in solar energy.
“Uzma is excited to complete this acquisition and we are already in the closing stages of finalising negotiations on potential contracts in the solar EPCC space,” commented UZMA’s group CEO Datuk Kamarul Redzuan Muhamed.
“This partnership will enable the group to tap the RM3.5 bil solar and renewable EPCC segment opportunities in Malaysia.”
The renewable business segment is part of Uzma’s five-year plan to broaden and strengthen the group’s business operations.
Uzma’s new energy division is expected to grow the group’s earnings further by adding to its core O&G upstream division by diversifying the revenue mix as well as grow a stable and recurring revenue stream.
The solar EPCC potential will now join the renewable opportunities secured by Uzma recently such as the liquified natural gas (LNG) distribution and net energy metering (NEM).
At the close of today’s trading, Uzma was up 2 sen or 3.1% to 66.5 sen with 2.55 million shares traded, thus valuing the company at RM213 mil. – May 24, 2021
