3 days ago
LBS achieves pivotal milestone in green financing
LBS group managing director and chief executive officer Datuk Wira Joey Lim Hock Guan (left) and Alliance Bank's group chief executive officer, Kellee Kam (right) at the official document presentation ceremony.
LBS Bina Group Bhd has announced that its special purpose vehicle, Suria Hijauan Sdn Bhd has secured a RM88.4mil green financing facility from Alliance Bank Malaysia Bhd to fund the Engineering, Procurement, Construction and Commissioning (EPCC) costs for its maiden 43 MWp solar farm project.
The project, which is under the Corporate Green Power Programme (CGPP), is located in Senawang, Negeri Sembilan and is scheduled for completion by the end of 2025.
The solar farm is expected to deliver stable, recurring revenue, thus enhancing long-term earnings resilience, underscoring LBS' commitment to sustainable growth.
The solar farm project is expected to generate approximately 53,000 MWh of clean energy annually, effectively offsetting about 35,000 tonnes of carbon emissions.
Atlantic Blue Sdn Bhd – a subsidiary of Solarvest Holdings Bhd – was appointed as the EPCC contractor under a RM104.0mil contract, leveraging its expertise in delivering large-scale solar projects.
LBS group executive chairman Tan Sri Ir Dr Lim Hock San commented that this green financing marks an important milestone for LBS as they diversify into renewable energy.
'Securing this credit facility from a reputable bank like Alliance Bank highlights the strong potential of our renewable energy venture and our capacity to expand our initiatives within this sector.
'This support reflects confidence in our strategic direction and financial strength, while also facilitating the successful execution of this project.
'This initiative not only resonates with our goal of creating a positive environmental impact, it also strategically complements our core property development business by integrating future product offerings with renewable energy solutions.
'In turn, this contributes to Malaysia's national carbon reduction goals, supporting the country's transition towards a low-carbon economy.'
Expressing his optimism about the project, Alliance Bank's group chief executive officer, Kellee Kam said, 'At Alliance Bank, we believe financial institutions have a critical role to play in advancing sustainable development.
'We are honoured to partner with LBS, a company whose values and vision closely align with our own.
He added, 'Today's announcement is not just the launch of a project – it marks the beginning of a journey and a cause we are proud to be part of.'
