Central Global Bhd announced that its wholly-owned subsidiary, Central Global Construction Sdn. Bhd (CG Construction) had on 7 April 2022 accepted a letter of award from a third-party main contractor, Mewajadi Sdn. Bhd. for subcontract works such as the supply of labour, materials, machinery, tools and equipment for a project involving the construction of quarters for students and staff for Institut Latihan Perindustrian (“ILP”) in Labuan, Sabah.
ILP is owned by Kementrian Sumber Manusia Malaysia, referred to as “Projek Pembinaan Kuarters ILP Labuan” for a contract sum of TM26.034 Million and it stipulates a commencement date of 8 March 2022 (with the letter of acceptance was signed by CG Construction on 7 April 2022) and a completion date of 2 September 2024.
In a Bursa Filing, it said that the acceptance of the Contract is in the ordinary course of business of CG Construction and enhance the existing order book, and is expected to provide a steady stream of revenue to the Group over the next two (2) years. The Contract will have no effect on the share capital of the Company but is expected to contribute positively to the earnings and net assets per share of the Group for the financial years ending 2022 to 2024.
