KUALA LUMPUR: Central Global Bhd has secured a RM183.29 million contract for the supply of plant, machinery, labour and materials required for the construction and completion of a project known as “Projek Jalan Semawang ke Tanjung Kuala Gum-Gum” in Sandakan, Sabah.
Its 70%-owned subsidiary RYRT International Sdn Bhd had on Wednesday (Sept 28) been awarded the project by a third party main contractor, Pembinaan Urusmesra Sdn Bhd, which is scheduled to start on Oct 14, 2022, and be completed by Oct 13, 2025.
Notably, the contract value exceeds the market capitalisation of the group — which is mainly involved in making industrial tape and label stock, and construction — which stood at RM113.89 million, based on its closing price of 91 sen on Wednesday.
This contract is expected to provide an additional stream of revenue and profits to Central Global for the financial years ending 2023 to 2025, according to the group’s bourse filing.
Shares of Central Global closed unchanged at 91 sen on Thursday, giving it a market capitalisation of RM113.9 million.
Source : The Edge Markets