Sunview Group Bhd (SUNVIEW) carries out engineering, procurement, construction and commissioning (EPCC) for solar photovoltaic (PV) facilities providing end-to-end services from engineering design, planning and procurement, construction and installation up to testing and commissioning. Besides that, SUNVIEW provides construction and installation for solar PV facilities including large scale solar (LSS) PV facilities projects, operating as a subcontractor to EPCC contractors. SUNVIEW also provides associated services and products to complement its core services in EPCC, and construction and installation services. In 2019, SUNVIEW embarked on being an asset owner of solar PV facilities for solar power generation and supply. As at 30 Aug 2022, SUNVIEW has a total unbilled order book of RM558.34m, which is expected to be completed progressively between FY23 and FY25.
Moving forward, SUNVIEW intends to expand its solar PV business and address potential opportunities in the EPCC of biogas plants. Moreover, besides provision of complementary products for solar PV power applications, SUNVIEW intends to purchase operational equipment as well to cater to the expansion of its solar PV business. We derive a fair value of RM0.48 based on a 10x PE multiple to its CY23F EPS of 4.8sen. The IPO is expected to raise approximately RM34.2m from the issuance of 118.0m new shares. Besides utilising 58.7% of the proceeds as working capital, 4.9% and 5.4% of the proceeds are allocated for business expansion and capital expenditure, respectively.
Source: PublicInvest Research - 30 Sept 2022
Created by PublicInvest | Mar 21, 2024