KUALA LUMPUR (Sept 18): Haily Group Bhd (KL:HAILY) said on Wednesday that it has secured a RM75.9 million contract from Mah Sing Group Bhd’s (KL:MAHSING) subsidiary for construction works on a residential development in Johor Bahru.

The contract was awarded by Meridin East Sdn Bhd to Haily Construction Sdn Bhd, the Johor-based construction firm said in a filing with the stock exchange.

Haily Construction, a wholly owned unit of Haily Group, will undertake the construction and completion of 393 double-storey terraced houses, along with two Tenaga Nasional Bhd (TNB) double-chamber substations.

The construction of the terraced houses is expected to be completed within three years, while the substations are projected to be finished within six months after receiving the architect’s instructions, the company said.

In a separate statement, Haily noted that this marks the company's 13th contract win of the year, bringing the total contract value to approximately RM462.31 million, surpassing the RM272.14 million achieved in 2023.

The group currently has 26 ongoing construction projects valued at RM857.93 million, expected to be completed between 2024 and 2026, which will contribute positively to its revenue and profitability.

"We are thrilled to continue our long-standing business relationship with Mah Sing Group. This project highlights our ability to manage large-scale residential developments, and we believe it will support the growth of Johor’s property market," said Haily founder and executive director See Tin Hai.

Shares in Haily rose 2.5 sen or 6.85% to 39 sen at Wednesday’s market close, giving the company a market capitalisation of RM153 million. The stock has gained over 85% year-to-date.