Highlights

AWC terminates RM130m TBS job with govt

 Publish date: Tue, 10 Oct 2017, 10:01 PM

KUALA LUMPUR: Building management services provider, AWC Bhd announced its wholly-owned subsidiary, Ambang Wira Sdn Bhd (AWSB), has agreed to mutually terminate the maintenance contract with the government for the Southern Integrated Terminal (TBS) worth RM130 million.

AWC in a filing to Bursa Malaysia today said it had earlier received, accepted, and returned a Letter of Acceptance of Tender from the government for the facilities management of TBS in Bandar Tasik Selatan in its announcement dated June 9, 2016.

The company said the contract had been deferred on Aug 26, 2016, pending the resolution of certain operational and technical matters between the government and the existing contractor.

The maintenance was for five years.

"The mutual termination agreement will negatively impact AWC's financial performance over the intended duration of the original contract.

"However, the impact is expected to be minimal as AWSB has secured other new contracts over the last three months as had been previously announced," it said.

Meanwhile, in a separate statement, AWC Managing Director/Group Chief Executive Officer, Datuk Ahmad Kabeer, said: "We are disappointed with the termination of the TBS contract, however, our facilities division has secured an impressive RM131.4 million worth of maintenance contracts over the past few months from the Public Works Department that minimises the impact from the TBS contract termination."

The current outstanding order book for the facilities division stands at RM851.6 million and represents a cover of about 7.4 times its financial year ended June 30, 2017 division revenue.

"This puts us in a good position to sustain growth for the division as we continue to aggressively tender for more contracts," he added.

On Bursa Malaysia today, AWC's shares ended one sen lower at RM1.02 with 111,600 shares traded. - Bernama

Share this
Labels: AWC

Related Stocks

Chart Stock Name Last Change Volume 
AWC 0.825 +0.02 (2.48%) 3,615,700 

  Be the first to like this.
 


 

283  368  546  981 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 SAPNRG 0.44+0.01 
 HIBISCS 1.09+0.08 
 D&O 0.825+0.085 
 REACH-WA 0.095+0.005 
 BORNOIL 0.0550.00 
 QES 0.315-0.005 
 MYEG 1.76+0.01 
 HSI-H4O 0.46-0.015 
 VC 0.085+0.005 
 REACH 0.41+0.015 

TOP ARTICLES

1. 【冷眼专栏】什么人应投资股票? 【冷眼专栏】全民拥股
2. StockAlliance - KTC " the top-tier CPG Distributor" in East Malaysia StockAlliance Smells Of Money
3. Stocks on Radar - MyEG Services AmInvest Research Reports
4. 销售再破新高.QES涨声不断 星洲日報/投資致富‧企業故事
5. Elsoft Research may rise higher, says RHB Retail Research [Goreng Goreng] ELSOFT
Partners & Brokers