KUALA LUMPUR: Yoong Onn Corporation Bhd’s 60%-owned subsidiary, TC Homeplus Pte Ltd (TCH), has appointed a contractor to build a S$13.16 million (RM41.18 million) four-storey industrial building in Singapore.

According to its filing with Bursa Malaysia, TCH appointed Precise Development Pte Ltd as the contractor for the proposed B2 industrial building at 18 Tampines Street 92. The contract was accepted on June 5, 2026.

A B2 Industrial Building is a building designed for heavy industrial activity, such as heavy-duty manufacturing, production and assembly work.

Construction is expected to take 15 months, starting from Oct 5, 2027.

The project will be funded through internally generated funds and a S$9.6 million (RM30.05 million) term loan.

Yoong Onn said the project is aimed at strengthening the group’s presence in Singapore by providing a dedicated facility with modern offices and upgraded warehouse space.

The new facility is also expected to improve the group’s operational efficiency, supply chain resilience and customer service.

Yoong Onn said the project is not expected to have a significant impact on the group’s earnings, net assets per share or gearing for the financial year ending June 30, 2027.

The group added that it does not foresee any major risks beyond normal construction-related risks, such as material price fluctuations and weather-related delays.

Yoong Onn’s shares were unchanged on Tuesday at RM1.48 per share, valuing the company at RM236.8 million.