CORP BRIEF: Wah Seong, KAB, WCT and Pegasus

Wah Seong bags UK project worth RM148m

WAH Seong Corp Bhd via its indirect wholly-owned subsidiary WS Engineering and Fabrication Pte Ltd was awarded a contract by Fluor Ltd valued at US$35.95 million (RM147.81 million). According to a filing to Bursa Malaysia yesterday, the Singapore-incorporated company was awarded a contract for module fabrication works on a project in the UK. The scope of work of the contract involves complete fabrication and assembly of pipe rack, process, and structural modules and skid units and testing, pre-commissioning, turnover and load-out services. The works scheduled for completion within 18 months.

KAB awarded 2 electrical engineering contracts

KEJURUTERAAN Asastera Bhd (KAB) has received two letters of acceptance from Binastra Ablebuild Sdn Bhd and Pembinaan Tuju Setia Sdn Bhd (PTS) respectively, for a total sum of RM14.7 million. The filing to Bursa Malaysia yesterday noted that KAB has been appointed as the nominated subcontractor for both contracts, where the scope of work includes supplying, delivering, installing, testing and commissioning of electrical services. The contract from Binastra (for serviced apartment Trion2) is expected to be completed by Aug 31, 2023. The contract from PTS (Pulse Residence at Bandar Puteri project) is expected to be completed by Aug 3, 2024.

WCT’s 4Q net loss widens

WCT Holdings Bhd posted a net loss of RM199.99 million in the fourth quarter ended Dec 31, 2020 (4Q20), from a net loss of RM103.97 million a year earlier. In an exchange filing yesterday, the construction group said this was mainly due to business disruptions caused by the Covid-19 pandemic and the Movement Control Order. However, revenue for the quarter was up 8.9% to RM547.23 million from RM502.5 million a year ago. For the full financial year 2020, the group posted a net loss of RM190.75, while revenue slipped 5% to RM1.7 billion from RM1.8 billion. On prospects, WCT said it will remain cautiously optimistic and expects the easing of travel restrictions will aid in revitalising its five retail malls, in particular the airport malls, as well as the hotels and business aviation services.

Pegasus inks HoA with WRP for glove JV

PEGASUS Height Bhd has entered into a heads of agreement (HoA) with WRP Asia Pacific Sdn Bhd to explore a potential joint venture (JV) for glove business. In an exchange filing yesterday, the group which is involved in property, trading and food and beverages business said it is considering to inject RM100 million cash for a 49% stake in the proposed JV, while WRP will contribute RM105 million in assets for its majority 51% equity interest. It added that the agreement was executed purely to allow both parties to negotiate and finalise the terms and conditions of the proposed JV.