Ireka bags RM203.14m shopping centre job

PETALING JAYA: Ireka Corp Bhd has been appointed as the main building contractor by Aeon Co. (M) Bhd for the construction of a shopping centre in Senawang, Negeri Sembilan for RM203.14 million.
Ireka told Bursa Malaysia that the appointment shall be on an exclusive basis and Aeon shall not during the term of the construction agreement, enter into any solicitation or discussions with any other parties.
"The construction works of the shopping centre shall be implemented over a period of approximately 23 months upon commencement of works," it added.
Concurrently, Ireka has also entered into a sale and purchase agreement with Aeon to dispose of part of a freehold land measuring 20.88 acres at the construction site.
"The board of Ireka believes the proposed disposal is a good opportunity for the group to employ its capability as both a developer and design and build contactor for a large multi-national corporation in the like of AEON," it said.
The expected gross profit from the proposed disposal is about RM6.8 million.
Meanwhile, prior to entering into the above agreements, Ireka entered into a separate sale and purchase agreement with Ong Poh Lan for the acquisition of part of the primary land measuring 21.52 acres which will be developed by Ireka to form the shopping centre land.