Resintech Announces Strategic Joint Venture with SEDC Energy

Resintech Berhad, a Main Market listed company and a leading manufacturer of diversified plastic pipes, water tanks, and fittings, has signed a Shareholders Agreement with SEDC Energy Sdn. Bhd. and Johan Intan Sdn. Bhd., a wholly-owned subsidiary of Resintech.

SEDC Energy, a wholly-owned subsidiary of the Sarawak Economic Development Corporation (SEDC), is dedicated to advancing the state’s renewable energy initiatives. The SH Agreement was signed by Dato’ Teh Leng Kang, Executive Director of Resintech Berhad, and Mr. Robert Hardin, Chief Executive Officer of SEDC Energy Sdn. Bhd.

This collaboration marks a significant step towards expanding Resintech’s presence in Sarawak’s industrial plastics sector through a joint venture aimed at enhancing the trading of industrial plastic products in the region. The partnership aligns with Sarawak’s ambitious goals in green energy and sustainability, complementing SEDC Energy’s efforts to build a sustainable ecosystem.

Notably, this includes projects such as the production of Sustainable Aviation Fuel (SAF) from algae cultivation in Sarawak, positioning the state at the forefront of renewable energy development in Southeast Asia.

The joint venture follows a Memorandum of Understanding (MoU) signed on June 15, 2023, between Resintech Plastics (Sarawak) Sdn. Bhd. and SEDC Energy. This partnership leverages the combined expertise of both entities, positioning the new joint venture company, Johan Intan, to capitalize on emerging opportunities in the industrial plastics market.

As part of the agreement, SEDC Energy will subscribe to 40,000 new ordinary shares in Johan Intan, amounting to a 40% equity stake, with Resintech holding the remaining 60%.

Dato’ Dr. Teh Kim Poo, Managing Director of Resintech, commented, “We are excited to join forces with SEDC Energy to establish a stronger presence in Sarawak. This joint venture will boost Resintech’s trading capabilities and open doors to new opportunities in Sarawak’s rapidly growing industrial sector. By combining our industry expertise and SEDC Energy’s strategic position in Sarawak, we aim to drive value for both our stakeholders and the local economy.”

Resintech believes that the joint venture with SEDC Energy will significantly strengthen the company’s financial performance by expanding market opportunities and securing a steady revenue stream from the Sarawak market. Initially, the joint venture will focus on trading industrial plastics products, with the potential to expand into manufacturing based on future market demands.

This joint venture also reflects Resintech’s ongoing commitment to environmental, social, and governance (ESG) principles, positioning the company as a leader in sustainable industrial practices while supporting Sarawak’s transition to cleaner energy solutions through initiatives like algae-based SAF production.

The post Resintech Announces Strategic Joint Venture with SEDC Energy first appeared on Energy Asia.

Exit mobile version