GAMUDA (5398) - Naim-Gamuda JV bags RM1.57b Pan Borneo Highway package




GAMUDA (5398) - Naim-Gamuda JV bags RM1.57b Pan Borneo Highway package

Naim-Gamuda JV bags RM1.57b Pan Borneo Highway package
By Ahmad Naqib Idris / theedgemarkets.com | July 28, 2016 : 6:18 PM MYT

KUALA LUMPUR (July 28): Naim Holdings Bhd announced that its wholly-owned unit Naim Engineering Sdn Bhd, via a joint venture (JV) with Gamuda Bhd, has won a RM1.57 billion total works package for the proposed Pan Borneo Highway.

According to a bourse filing today, the contract, awarded by Lebuhraya Borneo Utara Sdn Bhd, entails the development and upgrading of Phase 1 of the highway in Sarawak. The JV will undertake works package — WPC-04 (Pantu Junction to Btg Skrang).

The contract is for a 51-month period from the date of site possession.

"The above contract is expected to contribute positively to the earnings and net assets of the group during the tenure of the contract," said Naim.

Naim holds a 70% stake in the JV, while Gamuda owns the remaining 30%.

This is the latest award after the clinching of a RM1.29 billion package by a JV between KKB Engineering Bhd and WCT Holdings Bhd, and a RM1.36 billion contract to a JV between Bina Puri Holdings Bhd and Cahya Mata Sarawak Bhd earlier this week.

Naim fell 3 sen or 1.55% to close at RM1.91, giving a market capitalisation of RM450.19 million. Gamuda was down 5 sen or 1.03% at RM4.82, with a market capitalisation of RM11.64 billion.

http://www.theedgemarkets.com/my/article/naim-gamuda-jv-bags-rm157b-pan-borneo-highway-package