KUALA LUMPUR, July 25 ― Tenaga Nasional Bhd (TNB) has signed an investment agreement with KLS Energy Sdn Bhd, KLS Energy Sri Lanka Sdn Bhd and KLS Energy Lanka (Private) Ltd over the 35 megawatt renewable energy hybrid wind and solar power project in Jaffna, Sri Lanka.
TNB in a filing to Bursa Malaysia today said it had been invited by KLS Energy to acquire a stake in its wholly-owned unit, KLS Energy Sri Lanka, which in turn was the holding company of KLS Energy Lanka, an entity that had been granted a 20-year concession to develop the project by the Ceylon Electricity Board.
It said the investment agreement allowed for the completion of TNB's due diligence exercise and continuation of exclusive negotiations to finalise the terms and conditions of its proposed investment in the project.
TNB's entry into the definitive agreements for the project is subject to it being satisfied with the results of the due diligence exercise and fulfillment of conditions precedent, it added. ― Bernama