YTL Power International Shares Rise 4.09 Pct On DC Partnership Project

KUALA LUMPUR, Aug 20 (Bernama) --  YTL Power (YTLP) International Bhd's share price rose 4.09 per cent at mid-morning on Thursday, following its announcement of a strategic partnership with JLand Group on a data centre (DC) campus project in Johor.

At 11.39 am, its shares increased by 21 sen to RM5.09, with 24.70 million shares traded.

The strategic partnership involves JLand Group’s subsidiary JLG Technopark Sdn Bhd and YTLP’s 70-per cent owned subsidiary SIPP Power Sdn Bhd, where the parties would jointly build up to one-gigawatt (GW) of DC capacity in Sedenak Tech Park West (STeP West), Johor.

In a note, MBSB Investment Bank Bhd said that beyond Malaysia, the group is also actively looking for opportunities to expand to Thailand, Indonesia, Japan and the United Kingdom. 

As such, the investment bank is maintaining its earnings estimates for the company, as well as its ‘buy’ call on the shares, with a revised target price (TP) of RM5.67 from RM5.65 previously.

Meanwhile, RHB Investment Bank Bhd noted that YTL is in a good position to sign an Energy Supply Agreement to supply power to potential customers, as Tenaga Nasional Bhd is currently building a new 500 kilovolt substation in STeP West,

“We make no changes to our earnings estimates and keep the “buy” call on the company with TP of RM6.35,” it said.

-- BERNAMA