KUALA LUMPUR (Apr 23): Ireka Corp Bhd is eyeing equal revenue contribution from its construction and property segments in the next two years.

Ireka (fundamental: 0.2; valuation: 0.9) group managing director Lai Voon Hon said the firm currently derived 85% of turnover from the construction segment while the property division contributed some 15%.

Speaking to pressmen after Ireka's extraordinary general meeting (EGM) here today, Lai said the group "would focus on expanding its property segment going forward".

"The group will launch two projects this year which have a combined gross development value of RM380 million. Apart from that, we also have RM2 billion worth of projects in the pipeline," he said.

At the EGM earlier, Ireka shareholders had approved the company's 8.45ha freehold-land disposal in Senawang, Negeri Sembilan, to Aeon Co (M) Bhd for RM53.66 million.

During the press conference later, Lai said London-listed Aseana Properties Ltd, where Ireka has a 23% interest, had proposed to dispose of properties under its management within the next few years.

The proposal requires approval from Aseana's shareholders in June this year, according to him.

“Aseana will start to distribute capital return to its shareholders when it starts to dispose the properties. As such, we will start to realise some capital return over the next few years.

“As a shareholder, we have been told it is ongoing and more details will be announced in the next few months,” Lai said.

At 12.30pm, Ireka shares fell 0.5 sen or 0.6% to settle at 79 sen for a market capitalisation of RM135 million.

The stock had gained 30% this year, outperforming the FBM KLCI's 5% rise. Ireka's current share price compares with its latest reported net assets per share of RM1.15.

(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.)