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RHB remains upbeat on Kerjaya Prospek’s prospects, underpinned by steady job flows from Penang’s Andaman Island project and its more than 40-acre landbank with a potential gross development value (GDV) of at least MYR5 bil in the Klang Valley and Penang.
Catalysts include possible awards from Johor and potentially securing new industrial jobs via the joint venture (JV) with Samsung C&T (SCT).
The number of overhangs in residential units in Penang has been on a downtrend to 2.5k units in the first half of 2025 (1H25) from 2021’s 5.5k units. Likewise, Eastern & Oriental’s projects on Andaman Island, namely The Meg and Arica, have seen commendable take-up rates.
“Therefore, we could expect a steady pipeline of projects on this man-made island, which should benefit KPG,” said RHB.
It has been awarded with MYR1.2 bil of residential projects and MYR1.8 bil of infrastructure works related to this development. EAST also targets to launch MYR3.8 bil worth of GDV of properties between 2026 and 2030.
The last time KPG secured a major project with SCT was in Oct 2022 for Texas Instruments’ Melaka plant worth MYR1.5 bil. We learnt that KPG is looking at MYR2-3 bil worth of tenders related to the industrial sector that it has entered into via the SCT JV.
Track record-wise in Malaysia, SCT built the Petronas Twin Towers and Merdeka 118 Tower. On the DC front, SCT has constructed four DCs at the end of 2024, including a 40MW one in Hanam, South Korea, for IGIS Asset Management, and some for Samsung Electronics and Samsung SDS.
KPG’s winning of the MYR162 mil Majestic Gen contract in May for a high-rise development near Bukit Chagar signals that it is steadily entering into the Johor market.
The company had previously secured MYR1.3 bil across six contracts via three clients, SP Setia, EAST, and Teguh Harian Group. The abovementioned factors should enable KPG to hit its MYR1.6 bil 2025 job wins target. —Oct 31, 2025
Main image: Free Malaysia Today
The post RHB stays bullish on Kerjaya Prospek, backed by Andaman Island job flow and RM5 bil GDV pipeline first appeared on Focus Malaysia.
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