KUALA LUMPUR (Oct 17): SC Estate Builder Bhd (KL:SCBUILD) and consortium partner JK Spark Sdn Bhd plan to bid for Sabah’s large-scale solar (LSS) power plant projects, initiated by the Energy Commission of Sabah (ECoS).

According to ECoS' website, the inaugural bidding process seeks to secure the development of LSS PV power plants with a total capacity of 100MW. The target is for the plants to begin operations in 2026.

In a filing with Bursa Malaysia, SC Estate said the consortium aims to bid for solar power projects with capacities ranging from 1 MWac to 15 MWac.

The company said that under its joint-venture (JV) agreement with JK Spark, it will hold 40% of the JV, while JK Spark will hold the remaining 60% stake.

Besides, SC Estate will focus on investment and securing projects, while JK Spark will lead the implementation of the solar power projects. JK Spark will also oversee the installation of electric vehicle (EV) chargers, with SC Estate investing in EV charging infrastructure.

“This collaboration enables both parties to align their strategic objectives and capitalise on their core competencies,” the company added.

Although the JV is not expected to have an immediate financial impact on SC Estate’s issued share capital or earnings for the financial year ended July 31, 2024, the collaboration is anticipated to contribute positively to the company’s future earnings, depending on the success of the tenders.

JK Spark specialises in building construction, property development, the supply of building materials, and the supply and installation of solar panels.

The agreement is deemed a related party transaction due to Kuay Jeaneve serving as the non-independent non-executive deputy chairman of SC Estate, while also being a director and sole shareholder of JK Spark.

Jeaneve is the spouse of Loh Boon Ginn, who is the chairman, managing director, and substantial shareholder of SC Estate, holding a 21.75% stake with 890 million shares.

At the time of writing on Thursday, SC Estate shares were unchanged at one sen, valuing the company at RM40.92 million.