Case the diversification strategy of Sime Darby: Should Sime Darby diversify into the power sector?

Since the deregulation of the power sector in Malaysia following a power crisis in the early 1990s, there has been a spate of investment by corporations into the power sector in Malaysia. Sime Darby is one of the initial Independent Power Producers (IPPs) involved in generating power to sell to the...

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Bibliographic Details
Main Author: Wu, Wan Teng
Format: Thesis
Published: 2001
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Summary:Since the deregulation of the power sector in Malaysia following a power crisis in the early 1990s, there has been a spate of investment by corporations into the power sector in Malaysia. Sime Darby is one of the initial Independent Power Producers (IPPs) involved in generating power to sell to the Malaysian national utility, Tenaga Nasional Berhad (TNB). The Failure of Sime Darby’s diversification into the banking sector in 1998 brings to question the credibility of its current venture into the power sector. The following case study relies on publicly available information to build a current scenario of the power sector in Malaysia.