Soilbuild Construction Group clinches 2 contracts worth S$74m

SOILBUILD Construction Group on Tuesday said it has been awarded a contract for the building of a 10-storey multi-user general industry factory by SB (Yung Ho) Investment with temporary ancillary industrial canteen and mezzanine for ancillary office at Corporation Drive for about S$58.1 million, as well as a S$15.6 million subcontract awarded by a third-party main contractor for the supply and delivery of precast components for an HDB project in Punggol.

The Corporation Drive project is expected to be completed in the second quarter of 2021. It is considered a mandated interested person transaction, as the project owner is a wholly-owned subsidiary of Soilbuild Group, of which Soilbuild Construction Group's executive chairman Lim Chap Huat is the sole shareholder. As for the other contract, in terms of timeline, the supply and delivery of the precast components will be in accordance with the time schedule and construction programme of the HDB project. This is expected to be completed in the last quarter of 2020.

The group said the new contracts are not expected to materially impact the group's consolidated net tangible assets and earnings per share for FY19.