KUALA LUMPUR (April 18): Comintel Corp Bhd has won a contract worth RM229.80 million from Builtamont Development Sdn Bhd (BDSB) to undertake main building works for a suite apartment project in Taman Desa Aman, Kuala Lumpur.

In a filing with Bursa Malaysia, Comintel said its wholly-owned subsidiary Binastra Builders Sdn Bhd (formerly known as Total Package Work Sdn Bhd) had accepted a letter of award from BDSB.

The main building works of the proposed development consist of two blocks of suite apartments comprising 1,236 units, together with a 9½-level podium for multilevel car parking with one level of semi-basement car parking, along with facilities for residents, an electric substation, refuse room and security guardhouse.

The contract is for a duration of 34 months, commencing from May 1, 2023.

“The contract is expected to provide an additional income stream for the group over the next three financial years,” Comintel said.

It assured that the contract will have no effect on the issued share capital of the company, but is expected to contribute positively to earnings and net assets per share of the group for the financial year ending Jan 31, 2024 (FY2024) to FY2026.

The company disclosed that its managing director and major shareholder Datuk Tan Kak Seng is also a substantial shareholder of Maxim Global Bhd, the holding company of BDSB.

“Tan is not a director of Maxim Global or BDSB, and therefore the contract is not regarded as a related party transaction pursuant to Paragraph 10.08 (11) (l) of the Main Market Listing Requirements of Bursa Malaysia Securities Bhd," it said.

Except as disclosed above, it said that none of its directors, major shareholders and/or persons connected with any such director or major shareholders as defined in the listing requirements had any interest, direct or indirect, in the contract.

It said the directors of the company are of the opinion that the acceptance of the contract is in the best interest of the company.

At Tuesday's (April 18) market close, shares in Comintel ended 6.32% or 5.5 sen higher at 92.5 sen, valuing the company at RM351.76 million.