KUALA LUMPUR (June 8): Cypark Resources Bhd (KL:CYPARK) has proposed to raise up to RM52.7 million via a private placement to fund its renewable energy projects.

The company plans to issue up to 82.3 million shares, or 10% of its enlarged share base, to third-party investors to be identified at an issue price to be fixed, according to a bourse filing on Monday.

The estimated RM52.7 million proceeds are based on an illustrative price of 64 sen, representing a 5.51% discount to Cypark’s five-day volume-weighted average price of 67.7 sen up to May 31.

Of the proceeds, RM45 million will be used to fund Cypark’s projects. The funds have not been earmarked for any specific project at this stage and will be allocated based on actual funding requirements at the relevant time, the company said.

Cypark’s ongoing projects include the construction of a 595MWac hybrid hydro-floating solar plant with a battery energy storage system at Tasik Kenyir, Terengganu with an estimated development cost of RM1.96 billion.

They also include Phase 2 of the SMART waste-to-energy plant at Ladang Tanah Merah, Negeri Sembilan, with an estimated cost of RM700 million, as well as a 99.99MWac solar photovoltaic plant in Port Dickson with an estimated cost of RM300 million.

The remaining proceeds from the exercise will be used for working capital of RM7.1 million and to defray expenses related to the proposed placement.

On the proposed placement, Cypark said the exercise will provide an additional source of funding without interest costs or repayment obligations. It added that the placement may be carried out in tranches, allowing the group to raise funds on an as-needed basis while minimising immediate dilution to existing shareholders.

Notably, Cypark has been in the red for three consecutive quarters. For its third quarter ended Jan 31, 2026, the company posted a net loss of RM17 million compared with a net profit of RM8.76 million a year earlier, due to the absence of a reversal of provisions and settlement income. This was despite revenue rising nearly 9% to RM43.2 million from RM39.7 million.

Cypark said the private placement is expected to be completed by the fourth quarter of 2026.  TA Securities has been appointed as the principal adviser and placement agent for the exercise.

Shares of Cypark ended one sen or 1.5% lower at 68 sen on Monday, valuing the company at RM559.5 million.