Genetec exits loss-making battery JV with Citaglobal for US$0.24
What's the deal? Genetec Technology Bhd has agreed to sell its entire 50% stake in Citaglobal Genetec BESS Sdn Bhd (CG BESS) to Citaglobal New Energy Sdn Bhd for a nominal US$0.24 (≈$0). The deal, signed November 6, 2026, also transfers an outstanding intercompany debt of US$535.7K owed by the joint venture.
What's the deal, in detail? Genetec will dispose of 250,000 ordinary shares under a share sale agreement with Citaglobal Bhd and its subsidiary. The debt transfer is conditional on completion of the share disposal.
Why now? CG BESS, formed in January 2023 as a 50:50 venture to manufacture battery energy storage systems, has been loss-making since it began operating. As at June 30, 2026, it recorded net liabilities of about US$1.04M.
What's the endgame? Genetec said the sale lets it exit the investment and end the partnership, which it attributed to "differing business objectives and strategic priorities." The separation allows both companies to pursue their strategies independently.
The signal: The exit is a company-specific retreat, not a sign that storage investment is slowing. Malaysia's battery-storage market is gaining momentum, with a 100 MW/400 MWh grid-connected system entering operation and large solar-plus-storage projects tied to data-centre demand. The contrast underlines the gap between rising demand for deployed storage and the challenge of turning an early manufacturing partnership into a viable business.
Read more: businesstoday.com.my
Image credit: blmcalifornia
