RM1b infrastructure, construction jobs on the radar

KUALA LUMPUR: Bina Puri Holdings Bhd is confident of its long-term prospects and aims to secure RM1 billion in construction and infrastructure jobs in the next six to nine months to replenish its order book.

Group executive director Datuk Matthew Tee Kai Woon, said the company’s revenue was mainly derived from the construction, property and power segments.

“The group’s tender book currently stands at RM1.5 billion and we are optimistic of securing, among them, infrastructure projects in Sabah and Sarawak, Tun Razak Exchange projects, and more.

“Currently, we have RM1.2 billion in the group’s construction order book, with another RM2.8 billion worth of future property projects,” he said at a media and analysts’ briefing yesterday.

He said the group’s construction order book had consistently remained in the RM1 billion range.

“Bina Puri would continue to source for projects locally alongside its overseas markets, which among others include Indonesia and Thailand,” Tee said.

He said although the construction sector was the top revenue earner for the financial year 2016 (FY16), contributions from the property development and power supply divisions were expected to increase in FY17 and FY18.

On its construction projects, Tee said, the group had completed over RM18.7 billion of construction-related projects since 1975.

“Binapuri has secured about RM2.3 billion worth of projects in the current financial year, 69% of which are government-related while the remaining are privately-owned projects.

“The RM3.16 billion in gross development value from ongoing property development projects would sustain the company’s earning until 2020,” he said.

The group, he said, aimed to launch about RM500 million in property development projects next year.

Tee said the company, despite the slump in the property market, could not afford to slow down. He said the company planned to add more mini-hydro power stations to its construction portfolio in the next three to five years, mainly in Indonesia, which currently has a deficit in generating electric power.

“The group’s Indonesian unit, PT Megapower Makmur TBK, which was successfully listed in Indonesia in July 2017, would look into this opportunity.”

He said the group would proceed with its plan to acquire a controlling stake in Ideal Heights Properties Sdn Bhd, the developer of the RM15 billion Kuantan Waterfront Resort City. – Bernama