KUALA LUMPUR: A consortium comprising Malakoff Corp Bhd (MCB) and DRB-Hicom Environmental Services Sdn Bhd (DHES) will develop a 50MW large-scale solar photovoltaic plant on 200 acres in Tanjung Malim, Perak.

MCB, an independent power producer, told Bursa Malaysia that the consortium on Tuesday received acknowledgment from the Energy Commission (EC) on its acceptance on Dec 16  of the conditional letter of acceptance from the Government through the EC to undertake the project.

The project involves financing, designing, supplying, building, owning, operating and maintaining a 50MWac plant with commercial operation expected to start on July 1, 2018, for a term of 21 years under the power purchase agreement.

MCB and DHES, a unit of DRB-Hicom Bhd, hold 51% and 49% equity interest respectively in the consortium.

The consortium had participated in a competitive bidding exercise for the project, submitting its bid on Sept 23.

MCB said the official letter of award for the project would be issued subject to the consortium’s confirmation that it would fulfill the conditions set out in the letter of acceptance.

MCB did not reveal the estimated cost of the project.
 
However, it said the project was not expected to have any material impact on the earnings and net assets of the MCB group for the financial year ending Dec 31, 2016.

MMC Corp, a major shareholder of MCB, is connected to DRB-Hicom, the holding company of DHES.

 

Calvin comments:

Malakof is owned by MMC Corp which in turn is owned by SYED MOKTAR, an Umno Stalwart.

This Malakof Jv with DRB Hicom show that other Syed Moktar related Company might also go into JV with DRB to maximise DRB's hidden potential.

One possible JV is DRB with UM LAND In Iskandar.

UM LAND is the highly successful Township Developer in Bandar Sri Alam also known as the "City of Knowledge".

DRB's 25 million sq ft prime lands in Tebrau are listed under Residential/Commercial Freehold lands (Book value only Rm18.50).

UM Land's expertise could be roped in to JV with DRB for a value creation of prime shops/houses to unlock value. Apart from that POS also got very prime lands in Johor. And DRB owns 53.5% of POS

So DRB is not just Proton alone which many thought.