To design and build 10,000 units of properties using IBS Precast
SELANGOR, 13 January 2023 – MGB Berhad (“MGB” or the “Group”), a construction and property development solutions provider and subsidiary of LBS Bina Group Berhad, today announced that it has entered into a Memorandum of Understanding (“MOU”) with SANY Alameriah For Construction Co., Ltd. (“SA”).
SA is a joint venture company incorporated in the Kingdom of Saudi Arabia between SANY, the second largest heavy equipment manufacturer in the world, and Alameriah, a renowned developer in Saudi Arabia. It is principally involved in general construction activities, real estate development, infrastructure, design and build, and manufacturing of precast concrete products.
Under the terms of the MOU, SA aims to appoint MGB to design and build up to 10,000 units of properties, with a total project value of approximately 2.5 billion SAR (RM2.9 billion) under the Government Sakani Program (“Construction of Units”) in the Kingdom of Saudi Arabia which shall be completed in five (5) years. In addition, SA intends to collaborate with MGB to operate a precast concrete factory located in the city of Jeddah which is envisioned to supply 1,000,000 m3 precast concrete products for the Construction of the Units in five (5) years.
The signing of the agreement took place at LBS’ headquarters in Plaza Seri Setia, Petaling Jaya, Selangor. MGB Executive Vice Chairman, Tan Sri Lim Hock San signed on behalf of MGB while SA was represented by the Chairman of the board of SA, Mr Bandar Mohammad Al Amre. The signing was witnessed by MGB Group Managing Director, Datuk Wira Joey Lim Hock Guan, MGB Chief Executive Officer, Datuk Richard Lim and SA board member, Mr Tarek Amri.
The MOU will be effective from 13th January 2023 for a period of twelve (12) monthsunless terminated by either party or both parties enter into a Definitive Agreement.
MGB Executive Vice Chairman, Tan Sri Lim Hock San said, “The construction industry has progressively begun to embrace IBS Precast as the pathway towards attaining higher construction quality, improving productivity as well as greater efficiency. We look towards progressing leaps and bounds, driven by the use of our IBS Precast technology as the world enters 2023. Ultimately, we are pleased to have entered into an MOU with such a renowned developer and this marks a major milestone for us as we begin to tap into the Middle East market. MGB has much to contribute towards the construction industry in the Middle East and we are honoured to have been identified as a leading IBS Precast player to develop
properties.
Moving forward, IBS Precast is environmentally friendlier, which is in line with the promotion of green construction as outlined in the Construction Industry Transformation Plan (2021-2025) as a national agenda to transform the construction sector to be greener and cost-efficient. We have identified IBS Precast as a game-changer in the construction industry and we hope to continue to develop our knowledge and expertise in this area. MGB will continue to secure more contracts as we look to increase our order book, which includes further broadening our horizon in different markets.”
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About MGB Berhad
Established in 2007, MGB Berhad (“MGB”) has evolved into a construction and property development solutions provider, primarily focusing on providing efficient and cost-effective solutions across a wide range of industries, in particular building mass market and affordable living spaces for generational living in Malaysia.
Through its subsidiaries, MGB provides a full range of design, construction and development services including design and build, project management, civil engineering, value engineering, geotechnical specialisation, and manufacturing in Industrialised Building System (IBS) precast concrete products.
MGB has accumulated a strong track record, with more than 15 years in design and build to general construction for residential, commercial and industrial buildings as well as infrastructure works. MGB has successfully completed more than 21,000 units of properties, particularly in the affordable homes segment. In addition, MGB has also completed more than 5,000 homes using their IBS Precast technology.
For more information, please visit www.mgbgroup.com.my.
For media inquiries, please contact:
1. Corporate Communication, Media & Digital, LBS at [email protected]
2. Ng Shu Wain at [email protected].