Boustead secures RM1.17 billion contract from Defence Ministry

KUALA LUMPUR: Boustead Holdings Bhd’s unit, Boustead Naval Shipyard Sdn Bhd (BNS), has bagged a RM1.17 billion contract from Malaysia’s Ministry of Defence for the supply of four Littoral Mission Ships.

The contract, a collaboration between the governments of Malaysia and China was awarded to BNS under direct negotiation, for collaboration with a partner shipyard in China.

It is to be implemented over four years effective from the date of signing of the Letter of Acceptance by BNS, Boustead in a filing to Bursa Malaysia yesterday.

It said the Littoral Mission Ships would be designed by the partner shipyard and the first two vessels be built and delivered in China in 2019 and 2020.

The remaining two would be delivered in Malaysia in 2021.

The contract will have a positive effect on the earnings of the group for the financial year ending Dec 31, 2017, and contribute positively to its future earnings. — Bernama