KUALA LUMPUR (Jan 29): Foundation and geotechnical specialist Geohan Corp Bhd has kicked off the year by securing two piling contracts with a combined value of RM32.2 million from subsidiaries of Sunway Bhd, reinforcing its construction pipeline for the coming financial year.
The first contract, awarded by Sunway Majestic Sdn Bhd, covers piling works and contiguous bored piling retaining walls for a 46-storey Soho development in Johor Bahru. Construction is scheduled to begin this month and is expected to be completed within nine months, reflecting continued momentum in high-density urban developments across Malaysia’s major growth corridors.
The second project was awarded by Sunway City (JB) Sdn Bhd and involves bored piling works for three blocks of 47-storey serviced apartments in Plentong, with construction also commencing this month and an estimated eight-month completion timeline.
Both contracts will be executed by Geohan Sdn Bhd, the group’s wholly owned subsidiary, according to a statement released on Wednesday.
Managing director Lee Kim Seng expressed appreciation for Sunway Group’s continued confidence, noting that the relationship spans nearly two decades. He described the new awards as a strong endorsement of Geohan’s technical capabilities and consistent delivery standards in foundation and piling works.
Lee, who holds a 12.08% equity stake in Geohan, added that the latest contracts will enhance the group’s order book visibility for FY2026, supporting sustainable earnings growth and long-term shareholder value.
While the projects are located in Johor, the continued flow of large-scale high-rise developments highlights broader construction activity that also supports demand for commercial property in KL, office space in Bukit Jalil, and infrastructure tied to industrial land in Selangor. Such developments indirectly drive demand for foundation works across key markets, including industrial property in the Subang area and factory developments in Puchong, where mixed-use and logistics-related projects remain active.
Geohan’s shares closed 1.5 sen higher, or up 3.85%, at 40.5 sen on Wednesday, valuing the group at approximately RM178.2 million. Since its listing in December, the stock has declined 26.4% from its IPO price of 55 sen, despite ongoing contract wins.
Malaysia