BURSA ANNOUCEMENTS

Date : 27 December 2021

OTHERS SUNWAY CONSTRUCTION GROUP BERHAD ("SUNCON" OR THE "COMPANY") - LETTER OF INTENT ISSUED BY GBS SURIA SDN BHD - LETTER OF INTENT ISSUED BY SHARP VENTURES SOLAR SDN BHD

SUNWAY CONSTRUCTION GROUP BERHAD

Type Announcement
Subject OTHERS
Description
SUNWAY CONSTRUCTION GROUP BERHAD ("SUNCON" OR THE "COMPANY")
- LETTER OF INTENT ISSUED BY GBS SURIA SDN BHD
- LETTER OF INTENT ISSUED BY SHARP VENTURES SOLAR SDN BHD

The Board of Directors of SunCon is pleased to announce that Sunway Construction Sdn Bhd ("SCSB") has on 27 December 2021, accepted the Letters of Intent in respect of the following projects:-

 

(a) Letter of Intent issued by GBS Suria Sdn Bhd, a wholly-owned subsidiary of Gopeng Berhad, for the Design, Engineering, Procurement, Construction, Testing and Commissioning of Solar Photovoltaic Energy Generating Facility with Ancillary Equipment and Facilities with Generating Capacity of 50MW located at Lot 45547 GRN:124174 Mukim Teja, Daerah Kampar, Perak Darul Ridzuan (LSS4 Project 1), for a total contract sum of RM200,000,000 only. The LSS4 Project 1 shall be completed and achieve the commercial operation date by the scheduled commercial operation date on 31 December 2023 as required by Suruhanjaya Tenaga.

 

(b) Letter of Intent issued by Sharp Ventures Solar Sdn Bhd for the Design, Engineering, Procurement, Construction, Testing and Commissioning of Solar Photovoltaic Energy Generating Facility with Ancillary Equipment and Facilities with Generating Capacity of 50MW located at part of the land known as GRN 47151, Lot 5495, Mukim Kapar, Daerah Klang, Selangor Darul Ehsan (LSS4 Project 2), for a total contract sum of RM185,000,000 only. The LSS4 Project 2 shall be completed and achieve the commercial operation date by the scheduled commercial operation date on 31 December 2023 as required by Suruhanjaya Tenaga.

 

The LSS4 Project 1 and LSS4 Project 2 (collectively, the "LSS4 Projects") are expected to contribute positively to the earnings of SunCon Group for the financial year ending 31 December 2022.

 

The total new projects awarded this year including the LSS4 Projects amounted to RM1.474 billion.

 

The LSS4 Projects are subject to normal construction risk of material price fluctuation. However, with the past experience and expertise of SCSB in construction projects, this risk could be mitigated.

 

The LSS4 Project 1 is a Recurrent Related Party Transaction ("RRPT") by virtue of Tan Sri Dato' (Dr) Chew Chee Kin a Director of SunCon, is also a Director of Sunway Berhad and Gopeng Berhad as well as director in several subsidiaries of Sunway Berhad. Fortuna Gembira Enterpris Sdn Bhd, an indirect wholly-owned subsidiary of Sunway Berhad is a major shareholder of Gopeng Berhad. Evan Cheah Yean Shin is a Director and major shareholder of SunCon as well as director of several subsidiaries and major shareholder of Sunway Berhad. Tan Sri Dato' Seri Dr Jeffrey Cheah Fook Ling, Puan Sri Datin Seri (Dr) Susan Cheah Seok Cheng, Sarena Cheah Yean Tih, Adrian Cheah Yean Sun, Sungei Way Corporation Sdn Bhd and Active Equity Sdn Bhd are major shareholders of both SunCon and Sunway Berhad as well as persons connected to Evan Cheah Yean Shin. 

 

SunCon has obtained its shareholders' mandate for such RRPT entered into or to be entered into by SunCon and its subsidiaries with Gopeng Berhad at its Annual General Meeting held on 25 August 2021.

 

This announcement is dated 27 December 2021.






Announcement Info

Company Name SUNWAY CONSTRUCTION GROUP BERHAD
Stock Name SUNCON
Date Announced 27 Dec 2021
Category General Announcement for PLC
Reference Number GA1-22122021-00005


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