ETA Group Berhad, formerly known as Rex Industry Berhad, has secured three design-and-build construction contracts worth a combined RM66.69 million for industrial developments in Kapar, Klang, Selangor.
The company said its wholly-owned subsidiary entered into the agreements with ETA Industries Sdn Bhd for the development of three industrial properties.
The contracts are expected to generate an aggregate gross margin of approximately RM3.18 million for ETA D&B over the construction period.
Under the agreements, the projects are scheduled for completion within 24 months from the respective building plan approval dates, subject to any extensions granted.
ETA said the RM66.69 million contracts will strengthen its property and construction division’s order book as the group continues diversifying beyond its traditional food manufacturing business.
The company has identified property development, property investment and construction as key growth areas to broaden its earnings base and reduce reliance on a single business segment.
ETA D&B was established as the group’s dedicated design-and-build vehicle to pursue opportunities in these sectors.
The company said the three projects are located close to one another in Kapar, allowing shared project management, site supervision and consultant resources to improve operational efficiency.
The contracts will also help ETA D&B establish a track record in industrial property development, supporting its ability to compete for contracts from unrelated third parties and secure bonding facilities on more competitive terms.
