Vizione bags RM63.7m contract for PPR works

PETALING JAYA: Vizione Holdings Bhd has been awarded a contract worth RM63.7 million for the People’s Housing Programme (PPR) in Lahad Datu, Sabah.

In a filing with Bursa Malaysia last Friday, the company said its wholly owned subsidiary Vizione Construction Sdn Bhd (VCSB) had received a letter of award (LoA) from Permata Rebana Sdn Bhd to undertake the subcontract works.

Under the LoA, VCSB will supply material, labour, necessary tools and equipment to carry out design, building and delivery of 410 low-cost walk-up flats.

It will undertake the main building works (except for earthworks) including structure, architecture, and mechanical and electrical works complete with ancillary building, landscaping and infrastructural works.

The total contract cost is RM61.02 million with an estimated gross profit margin of 4.2%. The duration of the contract is for 26 months, commencing in the first quarter of 2017.

Vizione said the contract will lead to an expansion of its construction activities in the future and contribute positively to its financial performance, while also providing an opportunity for the group to open up new opportunities in Sabah.

The group intends to source the funding of the award through proceeds from rights issue and internally generated funds.