Bina Puri Holdings Bhd optimistic of securing projects worth RM1.0 billion in 2016

Bina Puri Holdings Bhd optimistic of securing projects worth RM1.0 billion in 2016

KUALA LUMPUR, Jan 13 — Bina Puri Holdings Bhd is optimistic of securing RM1.0 billion worth of local and overseas construction projects in 2016.

This is despite the probability of construction projects being scaled down when the Budget 2016 is revised due to the slump in oil prices.

Executive Director Matthew Tee said the target was achievable, based on the group’s previous track record, despite global challenges, local market uncertainty and the weakening ringgit.

“If the budget for the construction industry is scaled down to between 20% and 30%, the impact on us would not be so great,” he told reporters after presenting the group’s business outlook report here today.

He said currently the construction segment generated the highest revenue of more than 90% for the group, followed by quarry and ready-mix concrete (7.9%), property (7.3%), manufacturing (2%) and power supply (0.8%).

“We have ongoing construction projects of RM3.4 billion of which 87% is domestic and the remaining from overseas while our order book stands at RM1.9 billion.

“Going forward, we hope the group revenue for the construction, property and others segments can be in the ratio of 40:40:20 respectively by 2020. If one segment records a decline, the others can support the group’s activities,” Tee added.

He said Bina Puri is also looking for a tender book of RM10 billion annually, that covers all the groups’ business segments.

On the property front, Bina Puri has ongoing projects worth RM3.54 billion in gross development value, both locally and overseas. This includes the residential project, The Opus, at Jalan Tallala, KL and AEC Park, Thailand.

Meanwhile, Bina Puri is also in the midst of listing its utility business in Indonesia and expects to submit an application next month, with a possible listing on the Indonesia Stock Exchange by June 30, 2016.

The group has a total of 28-megawatt capacity micro diesel power generation plants at eight locations in Indonesia.

— BERNAMA

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