Khazanah partners South Korea’s SK ecoplant to accelerate Cenviro growth regionally

KUALA LUMPUR: Khazanah Nasional Bhd has entered into a strategic partnership with South Korea’s SK ecoplant Co Ltd, which will see the latter take up a 30 per cent stake in Khazanah-owned Cenviro Sdn Bhd to spur its growth into a regional waste management powerhouse.

Khazanah said following a multilateral bid process, SK ecoplant was selected as the optimal minority shareholding partner to support Cenviro in its next level of strategic growth, in line with the aspirations of the industrial development of the national waste management sector.

“Upon completion, the strategic partnership will see SK ecoplant hold a 30 per cent stake in Cenviro while Khazanah continues to be the majority shareholder of the waste management company,” Khazanah, the sovereign wealth fund of Malaysia, said in a statement yesterday.

It added that regulatory approvals will be sought as part of this transaction.

Khazanah managing director Datuk Amirul Feisal Wan Zahir said for over 30 years, Cenviro has been the local leader in Malaysia’s integrated waste management sector, and the partnership with SK ecoplant would further elevate

Cenviro’s business to be world class and be at the forefront of the sustainable waste management and recovery in the region.

“The growth plan for Cenviro echoes Khazanah’s mandate to develop globally competitive companies that are anchored on sustainability within our stable,” he added.

Khazanah said the strategic partnership is in line with its new long-term strategy under the ambit of Advancing Malaysia which was announced at the Khazanah Annual Review in March 2022.

Among others, it will undertake key initiatives to deliver impactful outcomes for the nation, including representing Malaysia at the global stage to facilitate flows of knowledge, networks, and investment opportunities.

It is also in line with Khazanah’s strategy of creating a sustainable future wherein it hopes to play a leading role in shaping an equitable and responsible environmental, social and governance (ESG) transition for Corporate Malaysia.

Khazanah also shared that Cenviro is currently Malaysia’s leading circular waste management solutions provider, operating mainly in treatment and disposal, recycling and recovery of scheduled waste, and is highly driven towards ESG best practices. — Bernama