KUALA LUMPUR (April 17): M & A Securities Research has maintained its Hold rating on WCT Bhd with a fair value of RM2.55 after the company announced that it has been awarded a construction job by 1MDB Real Estate Sdn Bhd that is worth RM169.26 million.
In a filing Tuesday, the company had said that the contract covered Zone 3 of the Kuala Lumpur International Financial District (Tun Razak Exchange) in Jalan Tun Razak /Jalan Davis, Kuala Lumpur.
In a note Wednesday, M & A Securities Research said it was maintaining its ‘Hold’ call on WCT with a fair value of RM2.55 by pegging a 3-year average P/E multiple of 12x to its FY14f EPS of RM0.25, and applying a 15% discount due to its high beta nature.