KUALA LUMPUR: Ray Go Solar Holdings Bhd aims to expand its reach in Malaysia's solar industry with its two-pronged growth strategy of providing solar leasing solutions and expanding its footprint to Penang and Johor.
Chief executive officer Datuk Ray Tan said the company's solar PV solutions would enable its customers to achieve more significant energy efficiency and cost savings and align their efforts to support global sustainability goals.
Tan said to fast track the adoption of solar energy solutions in Malaysia, and it is important to lower the entry cost to its prospective clients.
"Thus, we are introducing our solar leasing solutions in 2022, which will significantly reduce the cost barrier and boost the penetration rate of our solar PV solutions.
"Furthermore, as the renewable energy industry is anticipated to grow multi-fold on the back of robust demand and favourable government policies, we will be expanding our operational footprint nationwide to capture the growing opportunities in the Northern and Southern regions of Peninsular Malaysia," he said.
Ray Go Solar's venture into the solar leasing business will allow its customers to implement solar PV solutions with minimal investment capital, while the company is responsible for the full scope of installation, operations, and maintenance.
The venture will also allow the company to benefit from a new recurring income stream.
Furthermore, the company will expand its operational footprint from its base in Selangor by setting up new offices in Penang and Johor to capture more growth opportunities.
Ray Go Solar made its LEAP Market debut at 16 sen per share, 4 sen premium over 12 sen issue price.
The company's initial public offering (IPO) on the LEAP Market of Bursa Malaysia Securities Bhd entailed the issuance of 52.2 million new ordinary shares through private placement.
This represents 20.5 per cent of the company's enlarged issued share capital of 255.0 million shares, for 12 sen per placement share.
Ray Go Solar said through its listing the company would raise RM6.27 million in proceeds, of which RM2.0 million is allocated for expansion into solar leasing program, RM1.0 million for operational expansion to Penang and Johor RM2.43 million for working capital.
It added that the company will utilise the remaining RM0.84 million for listing expenses.