KUALA LUMPUR (June 7): Shares in Jati Tinggi Group Bhd (KL:JTGROUP) hit another new high since listing less than six months ago, after the engineering company said a joint venture had secured a RM25.55 million contract from Tenaga Nasional Bhd (KL:TENAGA).
The counter climbed as much as 24% or 8.5 sen to 44 sen, before paring gains to trade at 40 sen a share at 9.15am on Friday, valuing the company at RM156 million on Bursa Malaysia. More than 40 million shares had changed hands, nearly six times the 20-day moving average, topping the active counters on the exchange.
Currently, the stock is not covered by any analysts. At 40 sen, Jati Tinggi is trading at 33.47 times its price-to-earnings ratio based on its trailing earnings per share (EPS) of one sen, according to Bloomberg data.
On Thursday, the company said that the one-year contract was awarded to 70:30 JV between Worktime Engineering Sdn Bhd (WESB) and Jati Tinggi’s wholly owned unit Jati Tinggi Holding Sdn Bhd (JTHSB) to install a 132kV underground double circuit cable for a semiconductor factory in Kuala Lumpur.
This is the second contract win for Jati Tinggi which made its debut on the ACE Market of Bursa Malaysia last December.
In March, Jati Tinggi also through its subsidiary JTHSB won a RM22.06 million job from WESB to lay a 275kV underground cables for a data centre in the southern region of Peninsular Malaysia. The contract is to span a 13-month period commencing March 27, 2024.