The Board of Directors of LBS Bina Group Berhad (“LBGB” or “Company”) wishes to announce that Suria Hijauan Sdn. Bhd. (“SHSB”), an indirect subsidiary of the Company, has on 9 October 2024 awarded an Engineering, Procurement, Construction and Commissioning (“EPCC”) contract to Atlantic Blue Sdn. Bhd., a wholly owned subsidiary of Solarvest Holdings Berhad (“Solarvest”), to construct a 43-MWp solar farm project for the Company at a total contract value of RM104 million.

SHSB is a special purpose vehicle formed by LBGB, in partnership with a consortium comprising the followings:

The solar farm, to be located in Senawang, Negeri Sembilan, is expected to be completed by the end of 2025. Upon commissioning, it is projected to generate approximately 53,000 MWh of clean energy annually, offsetting around 35,000 tonnes of carbon dioxide emissions. The solar farm is anticipated to contribute about 53,000 Renewable Energy Certificates (RECs) to the market, supporting corporate consumers in meeting their sustainability goals.

LBGB’s strategic venture into the renewable energy sector underscores its commitment to sustainability and a forward-thinking approach to business development. This initiative not only aligns with LBGB’s environment goals but also complements its core business of property development by enhancing its future product offerings with renewable energy solutions. By developing renewable energy project under the Corporate Green Power Programme, LBGB will create new, recurring revenue streams upon the commissioning of the solar farm, enhancing its long-term earnings visibility.

The Board of Directors of LBGB is of the opinion that the EPCC contract is fair and reasonable, and in the best interest of LBGB and its subsidiaries.

The award of contract signifies the commencement of the development of solar farm project and it is expected to have a positive effect on earnings and net asset of the Company arising from the profit to be generated from the farm. This contract will not have material effect on earnings per share, net asset per share and gearing of the Company for the financial year ending 31 December 2024.

None of the Directors, major shareholders of LBGB and/or persons connected with them, as defined in the Main Market Listing Requirements of Bursa Malaysia Securities Berhad ("Bursa Malaysia"), have any interest, direct or indirect, in the EPCC contract.

About Solarvest

Solarvest is a clean energy expert with a multi-national presence across Asia-Pacific in 7 countries. The Malaysia-founded company started as a one-stop solar photovoltaic system solution provider for residential, commercial & industrial, and utility-scale solar farms. Today, Solarvest has accumulated renewable energy portfolio of over 1,200MW (on-going and completed). The company is currently venturing into other clean energy solutions including, among others, hydrogen, battery storage, data center, energy efficiency, low-carbon mobility, and renewable energy certificates.

Solarvest is listed on the Main Market of Bursa Malaysia Securities Berhad. For more information, log on to https://solarvest.com/

This announcement is dated 9 October 2024.