KUALA LUMPUR: Sunmow Holding Bhd's wholly-owned subsidiary Sunmow Construction Sdn Bhd's joint venture has won the bid for works related to Package 4B (Bukit Pagon to Long Luping) of Phase 2 of the Sarawak-Sabah Link Road project, valued at RM1.02bil.
In a filing with Bursa Malaysia, the group said the subsidiary had entered into a joint venture with Kemena Holding Sdn Bhd to bid for the said package on April 2, 2024, and subsequently received a letter of acceptance from the project's main contractor Maltimur Aktif Unggul JV Sdn Bhd on Aug 16, 2024.
Sunmow Construction is the lead partner in the partnership with a 70% stake while Kemena holds the remaining 30%
According to the group, the date for practical completion of the works is 48 months from the date of the letter of acceptance and the date of actual practical completion is the date certified by Maltimur Aktif Unggul in the certificate of practical completion.
Sunmow said the works will be funded by internally generated funds and/or project financing.
"The JV will provide an opportunity to strengthen Sunmow Group’s financial earning and fits into Sunmow Group’s plan to continue to draw on the strength in construction activities and expand into road construction as well as to diverse complementary revenue streams to deliver value to shareholders," said the group.