KUALA LUMPUR (Apr 14): Cahya Mata Sarawak Bhd (CMSB) has bagged a RM308 million contract from the Sarawak state government to build a world class museum and a heritage trail in Kuching.
In a filing with Bursa Malaysia, CMSB (fundamental: 3; valuation: 1.1) said PPES Works (Sarawak) Sdn Bhd, a subsidiary of CMS Works Sdn Bhd which in turn is a wholly-owned subsidiary of CMSB, today signed a design and build and negotiated contract with the Sarawak government for the proposed Sarawak Museum Campus and Heritage Trail project.
Under the deal, CMSB will construct a museum and an adjoining annexe building with a combined total floor space of 30,000 cu m, as well as a heritage trail in central Kuching.
The overall duration of the contract is 60 months, with completion by the first quarter of 2020.
CMSB said the project will be taken in phases to ensure that sections of the museum will always stay open to visitors.
"The Sarawak government will fund the construction of the project. The funds will be released accordingly to work progress under the conventional building industry mode of payment," it added.
The contract is expected to contribute positively to the future earnings of CMSB Group for the financial years ending Dec 31, 2015 to 2020.
CMSB shares closed down 0.41% at RM4.81 today, with a market capitalisation of RM5 billion.
(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.)