KUALA LUMPUR (Dec 30): Sunview Group Bhd (KL:SUNVIEW) said on Tuesday it is acquiring a now-halted large-scale solar farm project in Pekan, Pahang, for RM70 million in cash.

The plant is being acquired from PKNP Reneuco Suria Sdn Bhd, which is under receivership and is a 95%-owned subsidiary of Practice Note 17-listed Reneuco Bhd (KL:RENEUCO), according to a bourse filing.

According to Sunview, the plant sits on two parcels of leasehold land and was originally awarded under the Energy Commission’s Large Scale Solar 4 (LSS4) bidding exercise in March 2021. Reneuco, then known as Kumpulan Powernet Bhd, in collaboration with Perbadanan Kemajuan Negeri Pahang (PKNP), was shortlisted to develop the 50MWac solar photovoltaic plant.

PKNP Reneuco signed a 21-year power purchase agreement with Tenaga Nasional Bhd in August 2021, with the scheduled commercial operation date initially set for Sept 30, 2023. The Energy Commission later granted an extension to Dec 31, 2023.

Construction was later halted due to PKNP Reneuco’s financial difficulties after Reneuco was classified as an affected listed issuer. In June 2025, KPMG Corporate Restructuring PLT was appointed by Bank Kerjasama Rakyat Malaysia Bhd as receiver and manager over all charged assets of PKNP Reneuco following a payment default.

Sunview noted that it had previously been awarded an engineering, procurement, construction and commissioning (EPCC) contract by PKNP Reneuco in July 2023 for the plant’s development. Progressive works had been carried out up to April 2025, although progress has yet to be certified for the purpose of submitting claims.

On the rationale for the acquisition, Sunview said it would allow the group to take over ownership of the plant and resume construction towards completion and commencement of commercial operations. It added that the acquisition aligns with the group’s strategy to expand its energy portfolio and leverage its expertise in large-scale solar projects, particularly in design optimisation and cost efficiency.

The proposed acquisition is subject to approval from Sunview shareholders at an extraordinary general meeting, as well as any other relevant regulatory or third-party approvals, if required.

Upon completion, SAM 2 will become the registered owner of the solar plant and will subsequently enter into a lease arrangement with PKNP for the land. The purchase consideration will be funded through a combination of bank borrowings, internally generated funds, or future fundraising exercises. As at end-September, the group had deposits, cash, and bank balances of RM55.1 million.

At the time of writing on Tuesday, Sunview shares were unchanged at 37 sen, giving the group a market value of RM210.1 million.