KUALA LUMPUR (June 30): Liftech Group Bhd (KL:LIFTECH) is still negotiating for a RM25 million contract the newly-listed crane manufacturer had expected to secure earlier this month.
"We are still in commercial discussions,” head of business development Treston Ng told reporters after the company's ACE Market listing ceremony on Tuesday. “That is the final part before we are awarded.”
Order book could reach RM60 million to RM70 million by year end, he said. As at May 10, the company had an unbilled order book of RM41.6 million.
Liftech, listed on the ACE Market on Tuesday, provides engineering services covering the design, manufacturing, installation, commissioning, maintenance and repair of industrial lifting and handling equipment.
The company is expanding into higher-value sectors such as semiconductors, aerospace and data centres from its current base of customers that include manufacturing, construction, steel, utilities and automotive.
Demand from data centre projects is expected to be one of Liftech's key growth drivers over the next one to two years, alongside opportunities in the semiconductor and aerospace sectors, Ng said.
Data centres require lifting systems to install heavy equipment such as transformers, while the substations built to support the facilities also create demand for the company's engineering services, he noted.
Ng added that the company has not seen significant cost pressure from recent geopolitical tensions as freight rates have eased and most of its imported materials are sourced from China.
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