Petronas Gas Bhd will overhaul its corporate structure to separate regulated and non-regulated businesses, a move aimed at enhancing transparency, sharpening strategic focus, and allowing greater capital flexibility, The Edge Malaysia reports.
The plan, approved by the board in July and cleared by Malaysia’s Ministry of Finance on September 24 for tax exemptions, will be carried out via a members’ scheme of arrangement under the Companies Act 2016, the company said in a stock exchange filing on October 1.
Under the reorganisation, gas transportation will be transferred to PG TransCo Sdn Bhd, gas processing to PG Gas Processing Sdn Bhd, and utilities to PG Utilities East Sdn Bhd, which falls under PG Energia Sdn Bhd, a newly created holding entity for utilities and energy ventures.
The company said the restructuring will create clearer separation between its regulated operations, such as gas processing and transportation, and non-regulated activities in utilities and energy. PG Energia will consolidate investments in utilities and energy, positioning the business to be more cost-competitive and responsive to market opportunities.
“The proposed structure of the group after the internal reorganisation will support the company’s medium- to long-term strategic agenda, ensuring the company remains competitive, efficient and relevant,” the filing said.
The exercise, expected to conclude in the third quarter of 2026, will not affect share capital, ownership structure, or near-term earnings per share. It is subject to shareholder approval, requiring support from holders of at least 75% of shares, as well as court and regulatory clearance.
For the first half of fiscal 2025, Petronas Gas reported a net profit of MYR918.98mn ($218.5mn), slightly lower than MYR925.64mn a year earlier, while revenue slipped 2.5% to MYR3.18bn. Shares were unchanged at MYR18.50 as of 3:50 pm on October 1, giving the company a market value of MYR36.6bn.
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