YFG unit secures RM235 mln PSSB contract

KUALA LUMPUR: YFG Bhd’s wholly-owned unit, YFG Engineering Sdn Bhd, has secured a RM235 million contract from Pierre Suite (M) Sdn Bhd (PSSB) for the construction of apartments in Kajang, Selangor.

In a filing to Bursa Malaysia here, it said, the proposed project, which involved building, infrastructure and landscaping works, was expected to commence on a date to be notified in writing by PSSB and to be completed within 36 months from the commencement date.

“The project is expected to contribute positively to the revenue and earnings of the group for the financial year ending Sept 30, 2018 and beyond,” it said.

Meanwhile, in a separate statement, YFG said, it has received a Notice of Termination from Wearegold Sdn Bhd (WRG) for the sub-contract of RM245 million for the PR1MA Homes in Pedas, Rembau, Negeri Sembilan.

The contract, awarded on Feb 16, 2017, was terminated as WRG was unable to participate in the company’s proposed regularisation plan due to unforeseen reasons, it said.

In view of the foregoing, YFG and WRG had mutually agreed to terminate the contract with immediate effect, it said.

“This termination is not expected to have any material effect on the earnings, net assets and gearing of the company and the group for the financial year ending Sept 30, 2017 as the project did not commence,” said YFG. — Bernama