KUALA LUMPUR (Aug 4): Vivocom Intl Holdings Bhd has bagged a contract worth more than RM750 million from Seni Perspek Sdn Bhd to develop 377 acres of land in a township known as Bandar Tasik Amanjaya at Tronoh, Perak.

In a filing with Bursa Malaysia today, Vivocom said its subsidiary Vivocom Enterprise Sdn Bhd has entered into a joint venture (JV) agreement with Seni Perspek to build 4,032 residential units on two plots of land, measuring 53.54 acres (Block A3) and 12.48 acres (Block E11) respectively, in four phases, which have a provisional contract value of RM189.5 million per phase.

Seni Perspek was granted the development rights to the land by Menteri Besar Inc (MB Inc) of the Perak state government on June 13.

Vivocom said under the JV, Seni Perspek will appoint Vivocom Enterprise as the turnkey contractor and grants the latter the rights to build Phase 1 of the project located in Block A3. The company will also have the irrevocable option to build the remaining phases 2 and 3 located in Block A3 and phase 4 located in Block E11.

The contract value only has a maximum variation of 5% for each phase of the project. The project duration for each phase is 36 months and the phases may run concurrently, said Vivocom.

It added that the cost and outlay by Vivocom Enterprise as the turnkey contractor will be financed by internal funds and/or bank borrowings.

"Barring unforeseen circumstances, the project is expected to contribute positively to the future earnings of Vivocom," it said.

Bandar Tasik Amanjaya is a JV project between MB Inc and Ipoh City Development Sdn Bhd, a subsidiary of Putrajaya Perdana Development Sdn Bhd, with a gross development value of RM6 billion. Both parties had signed a JV agreement to develop the township, formerly known as the Kinta Lake District, two years ago.

Shares in Vivocom closed up one sen or 1.82% at 28 sen today, for a market value of RM737.38 million.