Pesona Metro JV bags teaching hospital project worth RM313.8m

PETALING JAYA: Builder Pesona Metro Holdings Bhd (PMHB) and its joint-venture partners have secured a RM313.85 million contract from GPQ Sdn Bhd for the construction of Universiti Sultan Zainal Abidin’s (UniSZA) teaching hospital in Terengganu.
GPQ is a subsidiary of Terengganu Incorporated Sdn Bhd that is involved in the business of construction works.
PMHB, via its unit Pesona Metro Sdn Bhd, with its partners GPQ and Semarak Korporat Sdn Bhd yesterday received a letter of acceptance from GPQ for the proposed project, which is scheduled to be completed within 182 weeks.
In a filling with Bursa Malaysia yesterday, PMHB said the project is expected to be funded via internal generated funds, thus would not affect the group’s gearing.
The group expects the deal to contribute positively to its earnings and enhance its net assets during the duration of the project.
PMHB said risks associated with the project are mainly operational and credit related.
“Notwithstanding this, PMHB shall ensure strict compliance to the safety and operational procedures in the execution of the project to minimise any operational risk exposure. In addition, the exposure to credit risk is monitored on an on-going basis and action will be taken for any long outstanding debts,” it added.
PMHB closed higher 1.32% or half-a-sen at 38.5 sen yesterday, with 1.17 million shares traded.