Econpile bags RM122m bored piling contract

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KUALA LUMPUR (July 9): Piling and foundation specialist Econpile Holdings Bhd has bagged a RM122 million contract to undertake working bored piles for the proposed Pavilion Damansara Heights (Parcel 2) mixed development at Jalan Damanlela here.

The latest contract represents the group’s second contract win for Phase 2 of the project, having secured a RM18 million contract for contiguous bored piling in September last year. It was also awarded a RM570.1 million contract to undertake bored piling and substructure works for Phase 1 in February 2017.

In a filing with Bursa Malaysia today, Econpile said its wholly-owned subsidiary Econpile (M) Sdn Bhd (EMSB) had on Friday (July 6) received a
letter of award from Jendela Mayang Sdn Bhd to undertake construction and completion of working bored piles for Phase 2.

The overall duration of the contract is 13 months.

"The contract is the main stream business of EMSB and is expected to contribute positively to the group's revenue and earnings for the financial year ending June 30, 2019," said Econpile.

In a separate statement, Econpile executive director and group chief executive officer Raymond Pang said smooth progress of works for Phase 2 of Pavilion Damansara Heights positively indicates the market’s confidence of property developments in prime locations.

"This new contract starts Econpile’s new financial year on a strong footing and brings our current orderbook to RM1.2 billion to be recognised over the next two years,” he added.

Econpile shares ended the morning session up 1.5 sen or 2.16% at 71 sen, with 2.85 million share done, bringing a market capitalisation of RM949.63 million.