KUALA LUMPUR (Sept 12): Ecobuilt Holdings Bhd (KL:ECOHLDS), which is under an ad-interim liquidator, said on Thursday that it has bagged a RM190 million contract to undertake a construction job.

The construction company — formerly known as M-Mode Bhd — however, did not provide any details about the project in its bourse filing.

The company said its wholly-owned subsidiary, Rexallent Construction Sdn Bhd (RCSB), has been appointed as contractor for the project by ARKITEK KDI Sdn Bhd.

Ecobuilt said the three-year contract is expected to contribute positively to its earnings and net assets for the financial year ending 2024.

At the same time, Ecobuilt announced that RCSB had been served with a winding-up petition by Strong Force (M) Sdn Bhd on Sept 11, 2024.

The claim arose after Strong Force had obtained an adjudication award under the Construction Industry Payment Adjudication Act 2012 against RCSB on Nov 28, 2023, wherein the adjudicator had notified RCSB to pay Strong Force RM2.01 million.

On March 14, 2024, Strong Force’s solicitors had served a notice to RCSB which had not been responded to by RSCB.

In the statement announcing the receipt of the winding-up petition, Ecobuilt stated that RCSB is not a major subsidiary of the group as defined under the Main Market Listing Requirements of Bursa Malaysia Securities Bhd.

However, the group noted that RCSB’s total assets employed of RM91.75 million as of May 31, 2023 constituted 50.32% of Ecobuilt’s total assets employed of RM182.34 million.

A separate filing showed that Ecobuilt’s unit Eko Bina Sdn Bhd (EBSB) has received a notice of adjudication from PLP Electrical Engineering Sdn Bhd seeking a claim sum of RM1.69 million.

Of the sum claimed, RM1.43 million is the adjudicated sum, RM167,615 for awarded interest and RM87,321 for the total cost of the adjudication proceedings. 

EBSB’s total assets employed is RM78.8 million as of May 31, 2023, representing 43.22% of EcoBuilt’s total assets employed of RM182.34 million.

“Save for the claimant’s claim and disbursements involved in the adjudication, the companies do not expect to incur further losses,” it said. 

Ecobuilt said it is actively seeking to resolve this matter while maintaining its operations.

Trading in Ecobuilt's shares had been suspended since August 9, following another winding-up petition by S-Form System Formwork (M) Sdn Bhd on April 24, concerning a claim of RM670,596.