KUALA LUMPUR: Varia Bhd's subsidiary Pembinaan Teguh Maju Sdn Bhd has secured a RM571.8 million contract from the Social Security Organisation (Socso) to build a rehabilitation centre in Setiu, Terengganu.
Construction will span 30 months from Oct 29 this year until April 28, 2027.
Varia managing director Datuk Lau Beng Sin said the project provides the company with an opportunity to replicate its past track record from building a rehabilitation centre in Perak to a new rehabilitation centre in Terengganu, making in-road into construction in the healthcare industry.
"This construction contract is expected to contribute positively to the future financial performance over the next two to three financial years.
"We foresee the construction of this rehabilitation centre in Terengganu will support our long-term strategies and objectives to become a full-fledged construction services provider, hence enhancing shareholder value in the future," he said in a statement today.
Lau said the new project increased Varia's orderbook to RM3.08 billion.
He is confident that the company's strategy of focusing on high-impact projects will continue to yield positive financial results.
Varia's share price remained unchanged at 88 sen on Thursday, valuing the company at RM380.6 million.