Sunway secures RM21.4m housing project from SunCity

KUALA LUMPUR: SUNWAY HOLDINGS BHD has secured a RM21.48 million contract from SUNWAY CITY BHD (SunCity) to build 100 double-storey cluster homes and one Tenaga Nasinal Bhd sub-station.

Sunway said on Friday, Feb 12 the completion date is Aug 1, 2011 with the construction period at 18 months.

"It is expected to contribute positively to the earnings of the Group for the financial year ending Dec 31, 2010 onwards," it said.

Sunway said the project is a related party transaction as Tan Sri Cheah Fook Ling is a director and major shareholder of Sunway and SunCity.

Sunway said it had obtained a shareholders’ mandate for recurrent related party transactions (RRPT) of a revenue or trading nature at its AGM on Dec 10, 2008.

"The RRPT mandate inter alia, covers the provision of construction works by SunCon or its subsidiaries to SunCity and its subsidiaries," it said.

By The EDGE Malaysia