KUALA LUMPUR (Dec 14): Xin Hwa Holdings Bhd has bagged a contract worth up to RM16.8 million to deliver precast viaduct and other related products for the Bandar Utama-Klang LRT line (LRT3).
Xin Hwa said the 24-month contract, awarded by Reaplite Industry Sdn Bhd, commences at the end of this month.
It said the contract will contribute positively to its books for the financial year ending March 31, 2018 (FY18) and FY19.
With this contract, Xin Hwa's total contract sum secured from September to-date is at an estimated RM52 million, said its managing director Ng Aik Chuan in a statement.
The job scope — transportation of precast structures — is one of Xin Hwa’s core competencies, Ng added. “This is niche market which we have been serving our customers for the past 10 years, both in Singapore and Malaysia.
“We are honoured to be selected to participate in most of the current infrastructure projects with national importance, such as the Pengerang’s refinery and petrochemical integrated development project (RAPID), Sungai Buloh-Serdang-Putrajaya MRT line (MRT2) and LRT3 projects,” Ng said.
Moving forward, he said the group plans to bid for jobs within similar scope — transportation of cargo weighing over 50 tonnes — under upcoming large scale infrastructure projects such as East Coast Rail Link (ECRL) and KL-Singapore High Speed Rail (HSR).
Xin Hwa is one of “a handful of mostly foreign companies” which are able to take on the role, Ng added, pointing to the company’s expanded fleet of 29 units of multi-axle modular trailers, comprising 156 axle lines.
“We are also expanding our warehouse division. We are on track to double our warehousing space from 404,000 sq ft to some 1 million sq ft by mid-2019,” he added.
Shares of Xin Hwa closed unchanged at RM1.25 today, giving the group a market capitalisation of RM270 million.