Latest news with #Eversendai
Malaysian Reserve
26-05-2025
- Business
- Malaysian Reserve
Eversendai to sell Rawang factory
The structural steel specialist contractor plans to open a new factory in Johor to undertake its jobs in Singapore by HABHAJAN SINGH EVERSENDAI Corp Bhd's operations in Malaysia will be kept busy in the next few months as it plans to sell some assets — including its factory in Rawang, Selangor — and look for an alternate site in Johor, closer to its Singapore jobs. The structural steel specialist contractor is actively undertaking the moves to trim down significantly its debt by 2031. 'Going forward, I would say the long-term debt, it will be paid off within the next six years. 'We have assets which we will dispose of in the next two to three years. Also, with the kind of business we have in hand, we will be able to progressively bring debt down and pay it off by six years. That's the target,' Eversendai executive chairman Tan Sri AK Nathan Elumalay told The Malaysian Reserve (TMR). Its total group borrowings and debt securities for the financial year ended Dec 31, 2024 (FY24), stood at RM576.7 million, a significant reduction from RM1.05 billion as at the end of FY23. Its gearing level has been cited as a concern weighing on the minds of investors, causing some of them to shy away from the company which was listed on the Main Market of Bursa Malaysia in July 2011. The disposal of two parcels of freehold land in Sungai Buloh, announced in January 2025, raised RM63 million, which was used to reduce the group's borrowings. In an exchange filing, Eversendai said the group's Ijarah facility drawdown for its first lift boat, Vahana Aryan, was fully settled by Vahana Offshore (M) Sdn Bhd. The company also settled other term loans during the year, resulting in a 45.2% reduction of its total borrowings. The company was in the process of further restructuring its borrowings to strengthen its liquidity position, it added. We are in the process of setting up a factory in Johor. We could potentially achieve 100% utilisation capacity for Malaysia, says Nathan (pic: TMR) Nathan said the company next plans to dispose of its land in Kundang and its factory in Rawang, both located in Selangor. More than a decade ago, Eversendai expanded its Rawang plant facility to accommodate increasing operational needs from local projects. In an announcement in September 2013, the company said it planned to purchase land in Bandar Kundang, as the Rawang facility lacked sufficient space for the storing the company's tools and equipment. When asked why Eversendai plans to divest its Rawang factory, Nathan said it is currently underutilised, as most of the projects from Singapore are relatively small in scale. 'We are in the process of setting up a factory in Johor. It may not be as big as the Rawang facility, but it will be adequately sized to cater to Singapore projects. 'In that way, we could potentially achieve 100% utilisation capacity for Malaysia,' he said. When asked to provide more details about the land the company is seeking in Johor, he said it is expected be about eight to 10 acres (4.05ha). On May 20, Eversendai announced that it had secured a project for the construction of the New Science Centre in Singapore. The composite building comprises trusses, columns and beams from Level 2 to roof. The scope of work for this project includes engineering, connection design, shop drawings, steel material supply, fabrication, delivery and erection of structural steel works. The company conducts significant business in the Middle East, India and Singapore, in that order, with a smaller presence in Malaysia. For FY24, Eversendai saw its net profit drop 47% to RM14.1 million, on a turnover of RM1.24 billion, down 15% from the previous year. This marked its second year in the black after a tough spell during Covid-19. The company was in the red for FY20, FY21 and FY22. Eversendai operates seven steel fabrication facilities located in Malaysia, Singapore, Dubai, Sharjah, Ras Al Khaimah, Qatar and India, with an annual capacity exceeding 200,000 tonnes. It is from these steel fabrication facilities that the company has left an indelible mark on some of the world's most iconic landmark structures. These include the Burj Khalifa in Dubai, Petronas Tower 2 (Malaysia), Khalifa Olympic Stadium (Qatar), Kingdom Centre (Saudi Arabia) and Republic Plaza (Singapore). Eversendai shares closed at 54.5 sen on May 22, with a 52-week high/low of 77 sen/ 34 sen. This article first appeared in The Malaysian Reserve weekly print edition
Malaysian Reserve
20-05-2025
- Business
- Malaysian Reserve
Eversendai bags Singapore's New Science Centre, Spain offshore steel fabrication projects
EVERSENDAI Corp Bhd has secured three new projects in United Arab Emirates (UAE), India and Singapore, including structural steel fabrication for an offshore grid in Germany. In an exchange filing today, the company led by executive chairman Tan Sri AK Nathan Elumalay said the new jobs would push its outstanding order book to RM6.6 billion. It said Eversendai Offshore in UAE has secured a project from Dragados Offshore SAU, Spain, for the fabrication of structural steel for the offshore converter blocks (topside) for the LanWin2, BalWin3 and LanWin4 offshore grid connection projects in Germany. The scope of work includes engineering, material procurement, fabrication and assembly of panels and blocks, painting and loadout. The offshore grid connection systems are part of TenneT's 2GW program which sets new standards in offshore grid infrastructure and doubles the existing transmission capacity of offshore grid connection systems. The program aims to help Germany, Netherlands and Europe achieve ambitious climate targets and develop the North Sea as Europe's 'green power plant', the filing added. The blocks will be executed at Eversendai Offshore's facility in Ras Al Khaimah, UAE. Eversendai said it has committed to execute the project and deliver the blocks for the three topsides progressively by December 2027. Eversendai ventured into the European offshore wind renewable energy in the year 2019 by successfully executing offshore wind jackets project for Hollandse Kust Zuid Alpha (2019-2020) and Hollandse Kust Zuid Beta (2020-2021) for 700MW offshore wind converter stations for TenneT, Netherlands. In India, Eversendai has secured the Chennai International Airport's Phase II modernisation project, adding around 1.2 million square feet of space in terminal two expansion. The structural steel works are critical in supporting the extended terminal's roof, facade and large-span structures by incorporating advanced design solutions for both functionality and aesthetic appeal, according to its filing. In Singapore, Eversendai has secured a project for the construction of the New Science Centre in Singapore. The composite building consists of truss, columns, and beams from Level 2 to Roof. The scope for all these projects includes engineering, connection design, shop drawings, steel material supply, fabrication, delivery, erection of structural steel works, it said. — TMR
The Star
20-05-2025
- Business
- The Star
Eversendai secures RM1.3bil in contracts
KUALA LUMPUR: Eversendai Corp Bhd has secured three projects in UAE, India and Singapore with a combined value of RM1.3bil, it announced to the stock exchange today. With the inclusion of these projects, the group's oustanding order book has risen to a record RM6.6bil. In the UAE, Eversendai Offshore has secured a project from Dragados Offshore S.A.U., Spain, for the fabrication of structural steel for the offshore converter blocks (topside) for the LanWin2, BalWin3 and LanWin4 offshore grid connection projects in Germany. The offshore grid connection systems LanWin2, BalWin3 and LanWin4 are part of TenneT's 2GW programme, which sets new standards in offshore grid infrastructure and doubles the existing transmission capacity of offshore grid connection systems. Eversendai said the blocks for the three topsides - which will be executed at the fabrication facility in Ras Al Khaimah in the UAE - will be delivered progressively by December 2027. Meanwhile, Eversendai in India has secured the Chennai International Airport's Phase II modernisation project, focused on significantly expanding the airport's capacity. It said the terminal 2 extension will add around 1.2 million square feet of space to the terminal buildings. Lastly, Eversendai has secured a contract for the construction of the New Science Centre in Singapore, with the composite building consisting of truss, columns, and beams from Level 2 to roof. "The scope for all these projects includes engineering, connection design, shop drawings, steel material supply, fabrication, delivery, erection of structural steel work," said the group.
New Straits Times
30-04-2025
- Business
- New Straits Times
Eversendai seeks shareholder nod for related-party transactions, including RM250mil deal
KUALA LUMPUR: Eversendai Corporation Bhd is seeking shareholders' approval to renew its mandate for recurrent related-party transactions, including a deal worth up to RM250 million. The deal involves the group's Dubai-based subsidiary, Eversendai Offshore RMC FZE, which will provide services to Vahana Offshore (M) Sdn Bhd, a company linked to Eversendai's executive chairman Tan Sri Nathan Elumalay. In a circular to shareholders, Eversendai said the mandate allows the group to continue conducting regular business with companies connected to its top executives and major shareholders. The group said the approval is necessary to continue transactions that are part of its day-to-day operations, including the rental of office and staff accommodation, and the provision of engineering and fabrication services for the oil and gas industry. Other related-party transactions include property rentals to Eversendai units in Dubai and Sharjah, estimated at between RM300,000 and RM1.75 million each. Eversendai said the transactions are carried out at market rates and are essential to support its business operations. The company also confirmed that none of the related parties had overdue payments as of the end of 2024. If approved, the mandate will take effect on June 10, the date of Eversendai's upcoming annual general meeting (AGM), and remain valid until the next AGM.
