Tuesday 23 Apr 2024
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KUALA LUMPUR (Oct 18): Haily Group Bhd has bagged a contract worth RM24.5 million from Meridin East Sdn Bhd for the construction and completion of a terraced residential project in Plentong, Johor Bahru. 

In a bourse filing, the group said the letter of award was accepted by its wholly-owned subsidiary Haily Construction Sdn Bhd. 

The project comprises a total of 155 double-storey terrace houses, one single-chamber TNB sub-station, two double-chamber TNB sub-stations and one main switch station.

Haily said the contract awarded by Meridin East is a firm price contract and will not be subjected to any fluctuation in costs and other variations sanctioned under the conditions of contract. 

While the date of commencement has not been set, pending instruction from the architect, the project is scheduled for completion within 15 months. 

The company expects this contract to contribute positively to its earnings and net assets over the duration of the project.

Its executive director See Tin Hai said the company’s ability to consistently secure new contracts is a testament to its proven track record in quality construction works and project delivery.

“Although the past year has been challenging for most in the construction industry, Haily looks to be in good shape for further growth. While our projects on hand are enough to keep us busy for the next few years, we will continue moving forward with our strategy to expand and capture the growing trends in the residential and non-residential sector in the other districts of Johor,” See said in a separate statement. 

Haily has 19 ongoing building construction projects as well as two ongoing civil engineering related construction projects as at Oct 18. The total secured contract value from these projects stands at RM477.74 million.

The group, which debuted on the ACE Market of Bursa Malaysia Securities on July 21, is principally a main contractor involved in construction of residential and non-residential buildings in the southern region of Peninsular Malaysia, particularly Johor, and is also involved in the provision of rental of construction machinery.

The stock has been trading below its initial offering price of 68 sen for the most part since its listing. 

On Monday, it closed 2.5 sen or 4.17% lower at 57.5 sen, translating into a market value of RM103 million. 

Edited ByLam Jian Wyn
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