KUALA LUMPUR (Sept 28): Willowglen MSC Bhd (KL:WILLOW) has secured a RM108 million contract through its Singapore subsidiary Willowglen Services Pte Ltd — an operating unit it is currently in the process of divesting.
In a bourse filing, the engineering and industrial automation solutions provider said wholly-owned subsidiary Willowglen Services Pte Ltd had on Monday received the contract for the supply, installation, testing and commissioning of the systems. It did not disclose the identity of the customer, citing confidentiality obligations under its agreement.
The contract duration is eight years and 11 months. It commenced on Aug 19, 2026.
Willowglen in April proposed to dispose of Willowglen Services as well as Willowglen (Malaysia) Sdn Bhd — two primary subsidiaries under which its core businesses are held — to Singapore-based Elixir II Pte Ltd for RM215.2 million in a share and cash deal.
The transaction will result in Willowglen taking up a 37.8% stake in Elixir II. Elixir II, a 97.81%-owned unit of Elixir I Pte Ltd (wholly-owned by Singapore-based private equity firm Prime Movers Equity), is a special purpose vehicle holding the Excel Marco Group, which provides process control and safety systems, automation and Industrial Internet of Things solutions, and operational technology cybersecurity services.
Willowglen shareholders will be voting on the disposal at an extraordinary general meeting to be held on Oct 19. They have been advised to approve of the deal by independent adviser cFSolutions Sdn Bhd, who opined that the transaction is “fair and reasonable” and “not detrimental” to shareholders.
For the second quarter ended June 30, 2026 (2Q2026), Willowglen’s net profit dropped 14% to RM907,000 from RM1.05 million a year earlier due to lower revenue and higher manpower expenses. Revenue declined 11.3% to RM44.41 million from RM50.04 million.
As at end-June, the group has RM58.88 million of deposits, cash and bank balances against loans and borrowings of RM7.25 million.
Willowglen closed half a sen higher at 29.5 sen on Monday, valuing the company at RM146.32 million.