KUALA LUMPUR (Feb 11) — Exsim Hospitality Bhd has announced plans to broaden its business scope by venturing into construction activities and the centralised procurement of building materials and household appliances. The group expects these new segments to eventually account for at least 25% of its net profit, strengthening its earnings base and reducing dependence on hospitality-related income alone.
In a filing to Bursa Malaysia, the company explained that the proposed expansion is designed to complement its existing fit-out and hospitality operations. By integrating construction, procurement and project execution under one structure, Exsim aims to achieve better coordination across planning, budgeting and delivery stages, which could improve efficiency and cost control over time.
Currently, the group’s core business includes operating its own hospitality properties, managing serviced residences and boutique hotels for third parties, and providing short-term accommodation services. Its subsidiary, Exsim Concepto Sdn Bhd, which holds a Grade G7 contractor licence allowing it to tender for projects of unlimited value, is expected to lead the new construction and procurement activities.
Although Exsim Concepto has primarily handled fit-out works, the subsidiary has also completed renovation and upgrading projects involving sales galleries, residential buildings, commercial premises and financial institutions. Moving forward, the company intends to undertake projects not only for its own managed assets but also for external clients across residential, commercial and corporate sectors.
The diversification may involve activities that contribute at least a quarter of the group’s net profit or require the allocation of 25% or more of its net assets into these new business lines, marking a significant step in its long-term growth strategy.
From a broader market perspective, the expansion of construction capabilities among property-related companies reflects the continued evolution of Malaysia’s real estate and development ecosystem. As integrated development models gain traction, demand for industrial land in Selangor and strategically located development sites continues to rise, particularly among firms involved in logistics, manufacturing and building supply chains.
At the same time, business expansion and urban regeneration are sustaining interest in commercial property in KL, while companies seeking modern and flexible workplaces are actively exploring office space in Bukit Jalil and other emerging business hubs. In the Klang Valley’s industrial corridors, locations such as Puchong and Subang remain attractive to occupiers searching for a factory in Puchong or industrial property in the Subang area, supported by strong infrastructure, skilled labour availability and proximity to major transport networks.
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