Ley Choon Secures S\$131.5 Million Worth of Contracts for Underground Utilities

Ley Choon Group Holdings Limited, a Singapore-based company, has announced a significant achievement with its subsidiaries successfully securing contracts worth approximately S\$131.5 million. These contracts are for the supply and installation of underground utilities services as well as road reinstatement works.

Key Details of the Contracts

• The contracts were awarded to four of the company’s subsidiaries: Ley Choon Constructions and Engineering Pte Ltd, Chin Kuan Engineering and Contractors Pte Ltd, Teacly (S) Pte Ltd, and Pan Alliance Technology International Pte. Ltd.
• The projects are expected to be completed within a 24 to 36-month timeframe.

Financial Implications

Despite the substantial value of the contracts, the company has stated that these projects are not expected to have any material impact on its earnings per share and net tangible assets per share for the current financial year ending 31 March 2025. This indicates that while the contracts bolster the company’s business pipeline, their immediate effect on financials will likely be neutral.

Shareholders’ Interests

Shareholders and potential investors will be reassured to know that none of the Directors or controlling shareholders of the company or their associates have any direct or indirect interest in the contracts, beyond their shareholding in the company itself. This transparency mitigates potential concerns about conflicts of interest.

Future Outlook

Winning contracts of this magnitude underscores Ley Choon’s operational capability and market competitiveness in the infrastructure and utilities sector. The long-term completion period of these projects could potentially contribute to steady revenue generation for the company over the next few years, which might positively influence its valuation in the mid to long term.

Regulatory Note

This announcement has been reviewed by the company’s sponsor, RHT Capital Pte. Ltd., but has not been examined or approved by the Singapore Exchange Securities Trading Limited (SGX). The SGX assumes no responsibility for the contents of the document.

Contact Information

For further inquiries, the sponsor, RHT Capital Pte. Ltd., can be reached through Mr. Khong Choun Mun at their office located at 36 Robinson Road, #10-06 City House, Singapore 068877, or via email at [email protected].

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors are advised to conduct their own research or consult a qualified financial advisor before making investment decisions.