KUALA LUMPUR: Instacom Group Bhd’s subsidiary Vivocom Enterprise Sdn Bhd has clinched a RM116.4mil construction contract for a gated community housing scheme with units under the Rumah Selangorku scheme in Gombak, Selangor.
In a filing with Bursa Malaysia, the telecommunication solutions provider said Vivocom received and accepted the letter of award from China Railway Construction Corp Ltd’s Malaysian operation CRCC Malaysia Bhd, which last month gave it contracts totalling RM231mil.
This project, to begin on Jan 18, 2016, will be completed within 18 months from the starting date.
“Today’s development means that we have even stronger earnings visibility until end of 2017,” Instacom chief executive officer Datuk Seri Dr Yeoh Seong Mok said in a press statement.
“We are in final negotiations for more projects. Hence, there will most definitely be more contracts secured over 2016 and 2017 and beyond,” he said, adding that the Instacom Group’s pipeline was estimated at about RM2bil at present.
In line with its growing order book and anticipated influx of more projects, Instacom is currently undertaking a private placement of up to 10% of its issued and paid-up share capital to third party investor(s) to be identified and at an issue price to be determined later.
Instacom shares gained 1.5 sen to close at 28 sen on Monday, with 78.94 million shares traded for the day.
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