Hayleys eyes hydro power investments in S. Africa, Myanmar
View(s):The Hayleys Group, on the back of a major deal which saw it buy 75 per cent in Fentons Ltd, a leading integrated solutions provider for Building Systems and ICT infrastructure, is gearing to invest in hydro power projects in South Africa and Myanmar, a top official said.
“We are in discussion with firms in both these countries,” the official told the Business Times adding that investing in Myanmar is easy as they have already established their presence in transportation and logistics through Hayleys Advantis.
He added that in the Myanmar case, Hayleys has tied up with Kusuhara Transportation Company Ltd of Japan and Myanmar Sedate Shipping & Logistics Company Ltd. “This will enable us to better serve the Myanmar clientele and extend a complete logistics solution to Myanmar.”
Discussions to set up hydro plants are positive, he added. He said that the power and energy business is an area with high potential growth and they are scouting for more such opportunities in other countries. Hayleys is a growing player in the renewable energy sector supplying Sri Lanka’s renewable energy needs through hydro and wind power plants.
Its renewable energy generation supported the performance of the sector with a profit before tax of Rs. 824 million in the financial year ended March 31, 2015. Hayleys currently provides 5.4 megawatts (MW) of hydro energy to the national grid and is developing several plants in order to provide 15 MW in the future.
The group also provides complete turnkey solutions, develops and constructs power houses, and supplies turbine generators for renewable power projects which currently supply the National Grid with a total of 9.5 MW. According to the official Hayleys is also eyeing expansions into the region with financial sector products as well.
Hayleys on Monday acquired 75 per cent equity stake of Fentons Limited which was valued at Rs. 963 million. “Hayleys believes that there is a strong strategic fit between the two organisations and the acquisition will positively contribute to the Hayleys Group’s turnover and profitability considering the growing demand in the country’s infrastructure and support services sector,” a Hayleys statement said. (DEC)