Yinson Production, a subsidiary of Yinson Holdings Bhd, has secured a major investment of US$1 billion (RM4.51 billion) from a global consortium led by a unit of the Abu Dhabi Investment Authority (ADIA).
The funding will fuel Yinson Production’s growth in the floating, production, storage, and offloading (FPSO) sector.
The investment, which comes from Platinum Lily B 2024 RSC Ltd, British Columbia Investment Management Corp (BCI), and RRJ Group, involves the purchase of Redeemable Convertible Preference Shares (RCPS) and warrants, increasing Yinson Production’s valuation to US$3.7 billion.
Investors also have the option to contribute an additional US$500 million over two years. Of the total funds, US$200 million will be channeled to Yinson’s parent company.
Chief Executive Officer Lim Chern Yuan stated that this investment strengthens Yinson’s position in the FPSO market and can further enhance the progress of its renewable energy and green technology projects.
Yinson’s stake in Yinson Production will be reduced to 65.48%.
The RM3.51 billion funding will support the acquisition and conversion of FPSOs for projects in 2025 and 2026.
Pending regulatory and shareholder approvals, the deal is expected to close in early 2025.
