Founder Group Limited Announces Additional US$8.6 Million Contract Under Malaysia’s Large Scale Solar Programme

Rhea-AI Summary

Founder Group (NASDAQ: FGL) secured an additional EPC contract worth RM34 million (~US$8.6 million) under Malaysia’s Large Scale Solar 5 (LSS5) programme for a 9.5 MW solar facility. The project is scheduled to reach commercial operation no later than May 1, 2027.

Founder Group’s total LSS5 contract value now stands at about RM70 million (~US$17.7 million). Management said it intends to pursue further awards under potential LSS6, CRESS and regional solar opportunities to build recurring revenue.

Positive

• New EPC contract of RM34 million (~US$8.6M) for a 9.5 MW plant
• Total LSS5 contract backlog of RM70 million (~US$17.7M)
• Commercial operation target set for May 1, 2027
• Management intends to pursue LSS6 and CRESS opportunities to grow recurring revenue

Negative

• Project completion tied to a May 1, 2027 commercial-operation deadline
• Concentration of announced contracts in LSS5 Malaysia programmes increases policy dependency risk

Key Figures

New EPC contract value: US$8.6 million New EPC contract value (RM): RM34 million Total LSS5 contracts: US$17.7 million +5 more

8 metrics

New EPC contract value US$8.6 million Additional LSS5 contract announced March 25, 2026

New EPC contract value (RM) RM34 million Additional LSS5 contract under Malaysia’s LSS5 programme

Total LSS5 contracts US$17.7 million Total contract value secured under LSS5 to date

Total LSS5 contracts (RM) RM70 million Aggregate contract value under LSS5 programme

Plant capacity 9.5 MW Capacity of solar facility to be built under LSS5

Commercial operation deadline May 1, 2027 Scheduled latest commercial operation date for LSS5 facility

Malaysia RE target 70 percent Renewable-energy installed capacity target by 2050

Potential LSS6 capacity 2 GW Possible added solar capacity under future LSS6 programme

Market Reality Check

Price: $4.43 Vol: Volume 23,848 is below th...

low vol

$4.43 Last Close

Volume Volume 23,848 is below the 20-day average of 121,604, suggesting limited immediate trading response to the contract news. low

Technical Shares at $4.43 trade below the 200-day MA $56.14, and are 97.12% below the 52-week high of $154 and 21.54% above the 52-week low of $3.645.

Peers on Argus

FGL is down 3.7% while 3 tracked peers (e.g., FBGL, SKK, SLND) also screen in mo...

3 Down

FGL is down 3.7% while 3 tracked peers (e.g., FBGL, SKK, SLND) also screen in momentum scanners to the downside (median about -3.3%), indicating broader weakness across related engineering/solar names rather than a purely idiosyncratic move.

Historical Context

5 past events · Latest: Mar 16 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 16	LSS5 solar contract	Positive	-1.7%	Secured RM19.5M (≈US$5M) EPC contract for 5.5MW LSS5 solar plant.
Mar 09	CGPP solar contract	Positive	-4.7%	Won ≈RM16M (US$4.14M) EPCC contract for 25.4MW CGPP solar project.
Mar 03	Nasdaq compliance	Positive	-5.4%	Regained compliance with Nasdaq minimum US$1 bid price requirement.
Feb 20	Listing deficiency notice	Negative	-15.9%	Nasdaq notice of deficiency in minimum 500,000 publicly held shares.
Feb 06	Share combination	Negative	-27.5%	100-for-1 share combination to address Nasdaq bid price requirements.

Pattern Detected

Recent history shows shares often trading lower on both positive contract wins and corporate/Listing Rule updates, with stronger declines around capital structure and listing compliance events.

Recent Company History

Over the past few months, FGL has combined aggressive corporate actions with steady contract wins. A 100-for-1 share combination on Feb 10, 2026 and subsequent Nasdaq notices and compliance updates all saw negative 1-day price reactions, including -27.47% on the combination and -15.87% on the public-float deficiency notice. More recently, the company secured a US$4.14M CGPP contract and a US$5M LSS5 EPC contract, yet the stock still fell -4.72% and -1.67% respectively. Today’s additional LSS5 contract expands this growing solar EPC pipeline against that backdrop.

Market Pulse Summary

This announcement expands FGL’s role in Malaysia’s utility-scale solar build-out, adding a US$8.6M E...

Analysis

This announcement expands FGL’s role in Malaysia’s utility-scale solar build-out, adding a US$8.6M EPC contract and bringing total LSS5 awards to US$17.7M for a 9.5 MW facility due by May 1, 2027. Recent history shows multiple contract wins and listing-related actions that did not translate into sustained price strength. Investors may focus on execution of this growing order book, future awards under LSS6 and CRESS, and any further regulatory or capital-structure developments.

Key Terms

epcc, battery energy storage systems (bess)

2 terms

epcc technical

"a leading engineering, procurement, construction, and commissioning (EPCC) solutions provider"

EPCC stands for Engineering, Procurement, Construction and Commissioning — a type of turnkey contract where a single contractor designs a project, buys the equipment and materials, builds the facility, and brings it into operation. For investors, EPCC matters because it concentrates project responsibility and often fixes price and schedule risks with the contractor, much like hiring one builder to deliver a finished house instead of managing multiple trades yourself.

battery energy storage systems (bess) technical

"adding another 2GW of solar capacity alongside requirements for battery energy storage systems (BESS)"

Battery energy storage systems (BESS) are large installations that store electricity in batteries and release it when needed, like a giant rechargeable battery for the power grid. They matter to investors because they help smooth out supply and demand, support more renewable energy, and create new revenue streams (selling stored power, providing backup and stability), which can change utility costs, business models, and the value of energy-related companies.

AI-generated analysis. Not financial advice.

Company’s Total Contract Value Under Programme Now US$17.7 Million

KUALA LUMPUR, Malaysia, March 25, 2026 (GLOBE NEWSWIRE) -- Founder Group Limited (NASDAQ: FGL) (“Founder Group” or the “Company”), a leading engineering, procurement, construction, and commissioning (EPCC) solutions provider for solar photovoltaic (PV) systems in Malaysia, today announced that, in collaboration with a prominent solar investment company, it has secured an EPC contract valued at RM34 million (approximately US$8.6 million) under Malaysia’s Large Scale Solar 5 (“LSS5”) programme.

As per the newly signed contract, Founder Group will undertake the design, construction, testing and commissioning of the 9.5 MW solar facility the Company agreed to build under LSS5 earlier this month. That facility is scheduled to achieve commercial operation not later than May 1, 2027.

To date, Founder Group has secured total contract value of about RM70 million (approximately US$17.7 million) under LSS5.

Also known as Peralihan Tenaga SuRiA (PETRA), LSS5 is part of the Malaysian government’s ongoing efforts to achieve a target of 70 percent renewable‑energy (RE) installed capacity and carbon neutrality by 2050. This ambitious RE installed capacity is considered a significant step for the adoption of solar energy in the country, reinforcing the nation’s long‑term commitment to clean energy transition.

According to MBSB Investment Bank Bhd (MBSB Research), Malaysia may soon launch LSS6, potentially adding another 2GW of solar capacity alongside requirements for battery energy storage systems (BESS). This launch, said MBSB, could support a multi-year growth trajectory for solar players, with solar projected to account for more than half of Malaysia’s power capacity mix by 2050.

“This new LSS5 contract, coming shortly after our recently announced LSS5 award, demonstrates the accelerating trust in our technical capability and reinforces the momentum we are building across Malaysia’s utility‑scale solar market,” said Founder Group Chief Executive Officer Lee Seng Chi.

“The Company aims to leverage this milestone to secure additional contracts under LSS6, Corporate Renewable Energy Sourcing Schemes (CRESS) to create electricity from renewable sources, and from various regional solar opportunities, thereby laying the foundation for sustained recurring revenue generation.”

About Founder Group Limited

Founder Group Limited is a pure-play, end-to-end EPCC solutions provider for solar PV facilities in Malaysia. The company’s primary focus is on two key segments: large-scale solar projects and commercial and industrial (C&I) solar projects. The company’s mission is to provide customers with innovative solar installation services, promote eco-friendly resources and achieve carbon neutrality.

For more information on the Company, please visit https://www.founderenergy.com.my/.

Safe Harbor Statement

This press release contains forward-looking statements that reflect our current expectations and views of future events. Known and unknown risks, uncertainties and other factors, including those listed under “Risk Factors” in the Company’s filings with the U.S. Securities and Exchange Commission, may cause our actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements. You can identify some of these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. We have based these forward-looking statements largely on our current expectations and projections about future events that we believe may affect our financial condition, results of operations, business strategy and financial needs. These forward-looking statements involve various risks and uncertainties. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. We qualify all of our forward-looking statements by these cautionary statements.

CONTACT INFORMATION:

For media queries, please contact:

Founder Group Limited
info@founderenergy.com.my

Investor Relations Inquiries:

Skyline Corporate Communications Group, LLC
Scott Powell, President
1177 Avenue of the Americas, 5th Floor
New York, New York 10036
Office: (646) 893-5835
Email: info@skylineccg.com

FAQ

What did Founder Group (FGL) announce on March 25, 2026 about LSS5 contracts?

Founder Group announced an additional RM34 million (~US$8.6M) EPC award for a 9.5 MW plant. According to the company, this raises its total LSS5 contract value to about RM70 million (~US$17.7M) and targets COD by May 1, 2027.

How large is the solar project in the RM34 million contract for FGL and when will it operate?

The newly awarded project is a 9.5 MW solar facility scheduled for commercial operation no later than May 1, 2027. According to the company, Founder Group will handle design, construction, testing and commissioning under the EPC scope.

What is the total contract value Founder Group (FGL) has under Malaysia’s LSS5 after this award?

After the latest award, Founder Group has approximately RM70 million (~US$17.7M) in LSS5 contracts. According to the company, this total reflects multiple LSS5 EPC awards secured to date across Malaysia.

How might LSS6 and related programmes affect Founder Group’s (FGL) growth prospects?

LSS6 and CRESS could create new tender opportunities supporting multi-year growth for solar providers. According to the company, a potential LSS6 launch may add capacity and support Founder Group’s aim to win additional utility-scale contracts.