Coal news and updates

TNB’s coal-free plan to spur buying interest

Tenaga Nasional Bhd’s (TNB) plan to wean itself of coal-fired plants by 2050 should address the environmental, social and governance issue that has put pressure on its share price over the past year.

There has been growing selling pressure on TNB’s shares, said Kenanga Research, which noted that foreign shareholding in the group fell below the 20% mark in early 2019 to slightly below 12% currently.

The lack of interest, it said, stemmed from the coal-based energy-generating issue, which could be alleviated as the group moves away from coal-fired energy.

The research house noted that selling has abated over the past two to three months with foreigners turning net buyers for the first time in 21 months in August.

Over the entire month, foreign investors turned net buyers to the tune of RM154mil in TNB’s stock.