By Aidila Razak
Construction company WCT Bhd’s subsidiary WCT Construction Sdn Bhd has been awarded a contract to build commercial and office buildings worth RM315 million by Putrajaya Holdings Sdn Bhd.
In an announcement to Bursa Malaysia, the company said the contract was for the construction of a seven-storey podium office and 14-storey office tower in Precinct 2 in Putrajaya.
The contract duration is for 32 months and is expected to contribute positively to the group’s earnings for the 2013 to 2015 financial year.
WCT’s shares closed at RM2.30 today.
Analysts across the board are positive on WCT—with HwangDBS most bullish with a target price of RM3.00–owing to its strong construction earnings and growth in property investments.
According to TA Securities, WCT’s outstanding order book stood at RM3.1 billion as at last month, of which more than half is from the Gulf States.
“The management targets to secure between RM1 billion to RM2 billion new construction contracts this year,” it reported.
At home, WCT participated for tenders for Kwasa Damansara land civil works (estimated value of at least RM1 billion) and will partner with a Chinese firm to tender for the southern double tracking project which is expected to be called this year.
It had also reportedly expressed interest in participating in the Kuala Lumpur-Singapore High Speed Rail.