KUALA LUMPUR (June 10): Construction company Bina Puri Holdings Bhd is eyeing to clinch the infrastructure works of the light rail transit line 3 (LRT3) and the Mass Rapid Transit Line 2 (MRT2).

Bina Puri group executive director Matthew Tee said today that the company is targeting to bid for both public transportation projects and is eyeing the infrastructure package for above ground works.

"We are expecting to submit the necessary papers for the tender process next year," he told reporters today, after a partnership signing ceremony with four partners for its luxury apartment project Opus Kuala Lumpur.

He said Bina Puri had tendered for infrastructure works on MRT Line 1, but was not shortlisted since the company was busy with other projects then, such as klia2.

It was reported that Prasarana Malaysia Bhd is expected to begin construction of LRT3 by the first quarter of next year.

The line, projected to cost RM 9 billion, will connect Bandar Utama to Klang and will be integrated with existing and future public transport networks.

Construction works for the MRT2, spanning 52.2km from Sungai Buloh to Putrajaya, is expected to begin during the second quarter of next year, with costs estimated to be over RM30 billion.

In a note released on May 18, CIMB Research had said it expected the pre-qualification and award phase of MRT2 to feature other contractors that have won MRT1 packages, including IJM Corp Bhd and Sunway Bhd.

Currently, Bina Puri’s construction division contributes to 80% of its total revenue.

The company had said it aims to reduce dependence on its construction division by beefing up its property development division.

The company’s development project Opus Kuala Lumpur is a low-density development with two towers of 32-storeys and 357 units of high-end service apartments, ranging from 700 square feet (sq ft) to 1,100 sq ft.

The units, priced between RM1,500 per sq ft to RM1,600 per sq ft, is 25% to 30% lower than the property prices in the vicinity of other KL landmarks, such as KLCC, Pavillion or KL Sentral.

Today, Tee said Bina Puri had pegged the price at a lower range, as The KL 118 or Menara Warisan has not been completed yet.

Opus Kuala Lumpur will be located opposite The KL 118, slated to be the world’s second tallest building.

Tower 1 of Opus Kuala Lumpur has been fully purchased, while Tower 2 has a 10% take-up rate.

Tee said 10% to 12% of the buyers of Opus Kuala Lumpur are foreigners from Hong Kong, Taiwan and other countries.

Tower 2, developed by Bina Puri's subsidiary Star Effort Sdn Bhd, will be equipped with furnishing by Calvin Klein Furniture and Gorenje kitchen appliances.

At 2.47pm, Bina Puri (fundamental: 0.15; valuation: 2)'s counter was up half sen at 54.5 sen, giving it a market value of RM116.8 million.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)