ISDN Holdings, which already operates hydropower plants in Indonesia, is stepping up its presence in this market by taking a controlling stake in a contractor involved in this business.
The company, whose core business is in manufacturing, announced it is taking a 51% stake in PT Funda Konstruksi Engineering for $2 million.
Between them, PT Funda's team of engineers have completed the design and construction of more than 70 hydropower projects in Asia with a total installed capacity of 4,500 MW.
The projects include ISDN's own Lau Biang 1 plant. PT Funda is now working on more than ten projects, including ISDN's Lau Biang 3.
“The acquisition of PT Funda aligns with ISDN’s long-term plan to provide a one-stop renewable energy solutions in Indonesia and capture a larger pie in this growing sector," says managing director and president of the company Teo Cher Koon.
"By combining PT Funda’s engineering capabilities with ISDN’s strong abilities in renewable energy project development and management, we are well-positioned to scale our presence nationwide," adds Teo.
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ISDN shares closed at 38 cents on Aug 21, unchanged for the day but up 22.58% year to date.
