KUALA LUMPUR (July 15): Jati Tinggi Group Bhd (KL:JTGROUP) has secured two contracts worth a combined RM22.56 million to undertake underground cable installation, testing and commissioning works for two data centre projects in Johor.

In a filing with Bursa Malaysia, the company said the first contract, valued at RM10.56 million, involves the installation, testing and commissioning of a 275kV bulk supply connection for a US-based data centre at the Nusa Cemerlang Industrial Park, Johor.

The second contract, worth RM12 million, is for the installation, testing and commissioning of a 275kV bulk supply connection to a Hong Kong-based data centre in Iskandar Puteri, Johor.

The contracts were awarded to its wholly-owned subsidiary Jati Tinggi Holding Sdn Bhd (JTHSB) by an unnamed main contractor. JTHSB accepted the letters of award on July 10.

The main contractor is principally engaged in construction and cable installation works, as well as a wholesaler for pharmaceuticals, chemical and cable medical products.

The first contract is scheduled for completion within 300 days from the acceptance date, while the second contract is expected to be completed within 270 days.

Jati Tinggi said the contracts are expected to contribute positively to the group's future earnings, earnings per share and net assets over their duration.

Jati Tinggi’s shares closed up 1.5 sen or 2.29% to 64 sen on Tuesday, giving the company a market capitalisation of RM283 million. The stock has recovered over 40% since hitting 45 sen in May, near its yearly low of 44 sen.