KUALA LUMPUR: Hong Seng Consolidated Bhd has issued a letter of intent (LoI) to Invest NS to explore the possibilities of forming a strategic partnership for the development of five parcels of leasehold land in Seremban, Negeri Sembilan, measuring approximately 115.23 hectares into Malaysia Green Valley (MGV).
Invest NS is a one-stop solution centre set up by the government of Negeri Sembilan to assist investors in setting up new operations and expanding their existing operations in the state.
In a statement today, Hong Seng said Invest NS duly accepted the letter.
"The LoI is intended for the parties to explore the possibilities of strategic partnerships, which could be in the form of joint venture development, lease, or outright sale of the lands.
"Subsequently, the parties will start to negotiate in good faith the terms and conditions of a definitive agreement for the strategic partnerships concerning the development of MGV," it said.
Hong Seng said MGV is envisioned as a green industrial park designed for research, development, and manufacturing of cost-effective and sustainable renewable energy products and related supply chain businesses.
MGV will be a centre of excellence in building a green value chain in Southeast Asia to strengthen the clean energy value chain across the upstream, midstream and downstream segments in Southeast Asia, which will enable and spur the local small and medium-sized enterprises to be more competitive.
On June 10, Hong Seng entered into a Memorandum of Understanding (MoU) with EoCell Inc to develop a regional manufacturing hub in Malaysia to manufacture batteries for electric vehicles (EV) and progress to energy storage solutions.
Hong Seng said this would eventually be supplied to EV manufacturers, assemblers, and users in the Southeast Asian region.
Under the MoU, Hong Seng is expected to identify and propose suitable locations for the project's site.
"Given this, the group has identified Negeri Sembilan as a suitable location for the development of MGV and the project," it added.