Lestari Cooling Energy Strengthens Platform Adding KWAP as an Investor

KWAP joins existing KJ Technical Services Sdn Bhd and Stonepeak joint venture Lestari Cooling Energy as it accelerates district cooling investments

KUALA LUMPUR & NEW YORK – March 25, 2026 – KJTS Group Berhad (“KJTS” or the “Group”) (KLSE: KJTS), a leading provider of energy-efficient cooling solutions and integrated energy management services based in Malaysia, and Stonepeak, a leading alternative investment firm specialising in infrastructure and real assets, today announced the addition of Kumpulan Wang Persaraan (Diperbadankan) (“[KWAP]”), Malaysia’s public sector pension fund, as an investor in their district cooling joint venture platform, Lestari Cooling Energy Sdn. Bhd. (“Lestari Cooling Energy” or “the Company”).

The addition of KWAP as an investor (KWAP is expected to commit up to ~RM190 mil of capital) strengthens Lestari Cooling Energy’s platform and enhances the Company’s strategy to invest in and develop diversified district cooling and electricity distribution assets predominantly in Malaysia. District cooling systems are globally recognised as the gold standard for efficiency, capable of reducing total energy consumption by up to 50% and offer a lower CO2 footprint compared to other traditional cooling methods. This is critical in Southeast Asia, particularly in Malaysia, where demand is being propelled by industrial urbanisation, ambitious energy efficiency initiatives and rapid data centre development.

KWAP’s investment, channelled through Malaysia’s first climate-focused initiative, Dana Iklim+, marks a pivotal step in the nation’s energy transition. Lestari Cooling Energy directly supports the National Energy Transition Roadmap (NETR) by enabling energy efficiency at scale. With the backing of KJTS, Stonepeak and KWAP, Lestari Cooling Energy is well-positioned to accelerate the deployment of high-efficiency cooling infrastructure to support national carbon reduction ambitions and long-term urban development.

As previously announced, the joint venture is expected to be capitalised at up to MYR 1.5 billion (~USD 380 million) through aggregate commitments and debt funding, targeting an actionable addressable market of over MYR 2 billion (~USD 500 million) in project deployment opportunities per year. At full deployment, the Company is expected to generate savings of over 70,000 tCO2 emissions per annum. Beyond its profound environmental benefits, Lestari Cooling Energy provides a cost-effective and scalable pathway for local businesses and building owners to mitigate rising electricity costs, a key operational challenge. This dual impact of sustainability and economic resilience aligns with KWAP’s commitment under the Ministry of Finance’s GEAR-uP programme to catalyse growth in key economic sectors and empower local companies.

“We are pleased to have KWAP as an investor in Lestari Cooling Energy as we continue to scale our district cooling business,” said Azura Binti Azman, Independent Non-Executive Chairman of KJTS. “The combination of Stonepeak’s global infrastructure expertise, KWAP’s strong domestic institutional presence and KJTS’ operational capabilities position the partnership well to deliver dependable, long-term cooling infrastructure aligned with Malaysia’s sustainability and energy transformation objectives.”

Hajir Naghdy, Senior Managing Director and Head of Asia and the Middle East at Stonepeak, added, “The continued growth of Lestari Cooling Energy reflects the importance of district cooling as critical infrastructure in Malaysia and the strong opportunity set for the Company. We are excited to continue expanding the Lestari Cooling Energy platform in partnership with KWAP and KJTS to support Malaysia’s growing energy needs.”

About KJTS Group Berhad (KJTS)

Incorporated on 3rd June 2022, KJTS is an integrated energy management services provider in Malaysia, with a presence in Singapore and Thailand. Originating as a contractor for cooling energy systems, KJTS has expanded and excelled in offering cooling energy, cleaning, and facilities management services. These include cooling energy management and engineering, procurement, construction, and commissioning (EPCC) of cooling energy systems services, general and specialised cleaning services, and facilities management services that cover the maintenance and repair of mechanical and electrical machinery and equipment. Renowned for its commitment to innovation, sustainability, and efficiency, KJTS has cemented its reputation in the industry and continues to expand its reach and services in Malaysia, Singapore and Thailand. For more information, visit www.kjts.com.my.

About Stonepeak

Stonepeak is a leading alternative investment firm specialising in infrastructure and real assets with approximately $84 billion of assets under management. Through its investment in defensive, hard-asset businesses globally, Stonepeak aims to create value for its investors and portfolio companies, with a focus on downside protection and strong risk-adjusted returns. Stonepeak, as sponsor of private equity and credit investment vehicles, provides capital, operational support, and committed partnership to grow investments in its target sectors, which include digital infrastructure, energy and energy transition, transport and logistics, and real estate. Stonepeak is headquartered in New York with offices in Houston, Washington, D.C., London, Hong Kong, Seoul, Singapore, Sydney, Tokyo, Abu Dhabi, and Riyadh. For more information, please visit www.stonepeak.com.

About Kumpulan Wang Persaraan (Diperbadankan) [KWAP]

Kumpulan Wang Persaraan (Diperbadankan) [KWAP] or the Retirement Fund (Incorporated) was established on 1st March 2007 under the Retirement Fund Act 2007 (Act 662). KWAP manages contributions from the Federal Government and relevant agencies made into the Retirement Fund [Fund] to obtain optimum returns on its investments through sound management and investment of the Fund in equity, fixed income securities, money market instruments, and other forms of investments as permitted under the Retirement Fund Act 2007 (Act 662). The Fund shall be applied towards assisting the Federal Government in funding its pension duties. In 2015, KWAP was officially appointed as an agent of the Federal Government for the purpose of payment of pension, gratuity, and other benefits granted under any written law from the Consolidated Fund as agreed between the Federal Government and KWAP. Visit www.kwap.gov.my for more information.