Hatten Land ties up with Ayala-linked entity for renewable energy projects

CATALIST-LISTED developer Hatten Land has formed a joint venture (JV) with an independent power producer (IPP) linked to Philippine conglomerate Ayala Corporation.

The JV will raise up to US$10 million in funds for renewable energy projects, with a focus on solar energy generation in Singapore and Malaysia, the group said in a press statement on Friday (Sep 16).

Hatten Edge, the group’s wholly-owned subsidiary, entered into a JV agreement with Nefin Pte Ltd, which is part of Nefin Group, a green IPP offering bespoke carbon-neutral technologies and financing solutions in Asia-Pacific.

Nefin Group is funded by Philippines-listed Acen Corp, which is part of Ayala Corporation, one of the largest conglomerates in the Philippines.

As part of the tie-up, Hatten Edge will take on the primary role of developing, operating and managing the renewable energy projects under the JV.

Nefin Group will be in charge of funding, fundraising support and establishing governance controls for the renewable energy projects. It has committed to invest 90 per cent of the US$10 million funding target.

These projects will have a capacity of about 15 megawatt peak, which the group expects to generate around 18,000 megawatt hours per year. This is equivalent to powering more than 5,000 3-room flats for an entire year.

Hatten Land also estimates that the projects will reduce around 340,000 tonnes of carbon dioxide over the project lifespan, equivalent to planting more than 644,000 trees.

Concurrently, the group is terminating its JV with previously-announced renewable energy partner Nestcon Sustainable Solutions, with effect from Sep 15.

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Both parties mutually agreed to terminate their JV agreement and seek other potential partners to meet their business objectives, Hatten Land said in a bourse filing. There is no cost of termination, it added.

The group’s wholly-owned subsidiary Hatten Renewable Energy, which was part of the JV, had an internal change of business strategy and growth goals in its energy division. It will use part of the US$10 million in funding from the new JV to fund and install solar panels in Q4 2022, as part of its pipeline of solar projects.

Separately, Hatten Renewable Assets, another wholly-owned subsidiary of Hatten Land, will supply and sell solar energy to Trend Technologies Singapore for 21 years at a fixed rate.

The former will construct, operate and maintain a 440.9 kilowatt-peak grid-connected rooftop solar PV (photovoltaic) power system at Trend Technologies’ premises located at Tuas in Singapore.

Trend Technologies Singapore is part of Trend Technologies, a vertically-integrated mechanical solutions provider which specialises in metal stamping and metal fabrication and injection moulding.

Hatten Land closed 3.1 per cent or S$0.001 lower at S$0.031 on Thursday.