Cypark Resources Bhd has proposed a private placement exercise to raise up to RM52.7 million, with the proceeds primarily earmarked to support the group’s expanding renewable energy portfolio.
In a filing with Bursa Malaysia, the company said it plans to issue up to 82.3 million new shares, representing 10% of its enlarged issued share capital, to third-party investors to be identified at a later date. The issue price will also be determined subsequently.
Based on an illustrative issue price of 64 sen per share, the exercise is expected to generate approximately RM52.7 million. The price represents a 5.51% discount to Cypark’s five-day volume-weighted average share price of 67.7 sen up to May 31.
Of the total proceeds, RM45 million will be allocated to fund the group’s renewable energy projects. While the funds have not been designated for any specific development at this stage, Cypark said the allocation will be based on actual project funding requirements as they arise.
Among the company’s major ongoing projects are the development 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, Phase 2 of the SMART waste-to-energy plant at Ladang Tanah Merah, Negeri Sembilan, valued at RM700 million, and a 99.99MWac solar photovoltaic plant in Port Dickson, with an estimated cost of RM300 million.
The remaining proceeds from the private placement will be used for working capital requirements amounting to RM7.1 million and to cover expenses related to the fundraising exercise.
Cypark said the proposed placement offers an additional source of capital without incurring interest costs or repayment obligations. The exercise may also be implemented in several tranches, enabling the group to raise funds progressively while reducing the immediate dilution impact on existing shareholders.
The fundraising plan comes as the company continues to navigate a challenging earnings environment. For the third quarter ended Jan 31, 2026, Cypark posted a net loss of RM17 million, compared with a net profit of RM8.76 million in the corresponding period a year earlier, mainly due to the absence of a reversal of provisions and settlement income. Revenue, however, rose nearly 9% to RM43.2 million from RM39.7 million.
The company expects the private placement exercise to be completed by the fourth quarter of 2026, with TA Securities acting as the principal adviser and placement agent.
