KUALA LUMPUR (June 22): Electrical engineering services provider HE Group Bhd (KL:HEGROUP) has secured a RM102 million subcontract for a data centre project in Johor.
In a statement on Monday, the group said the subcontract was awarded by a Malaysia-incorporated engineering, procurement and construction management company to its wholly owned unit, Hexatech Engineering Sdn Bhd. The client’s identity was not disclosed, other than being described as a company specialising in construction, civil engineering and offshore oil and gas.
The job scope covers the supply, installation, testing and commissioning of main electrical works, with completion slated for Sept 19, 2027. The contract is expected to contribute positively to the group’s earnings over the project duration, said HE Group.
Following the latest win, HE Group’s order book stands at about RM275 million as at June 22, providing earnings visibility over the medium term.
HE Group managing director Haw Chee Seng said the contract strengthens the group’s footprint in the data centre segment, which has become an increasingly significant contributor to its order book.
“With a solid project base, we will continue to focus on data centres, semiconductors and other high-growth industries where demand for electrical infrastructure remains robust,” he said.
“Malaysia's position as a preferred destination for digital infrastructure investment continues to strengthen, drawing significant capital commitments from both domestic and international players. Underpinning this is the rapid expansion of cloud services and AI-driven workloads, which are generating sustained demand for large-scale, reliable data centre capacity, and with it, an ongoing stream of opportunities in a space where we are in our element to capture and grow,” he added.
Listed on the ACE Market in January 2024, the group has since repositioned itself as an engineering contractor specialising in power systems for Malaysia’s rapidly expanding data centre and semiconductor sectors. It was later transferred to the Main Market in November 2025.
Shares of HE Group were unchanged at 54.5 sen at Monday’s noon break, giving it a market capitalisation of RM237.62 million. The counter has risen over 47% year to date.