Construction firm Keong Hong, which saw the entry of a new controlling shareholder earlier this year, has been awarded a $70 million contract.
The contract, given by Chempaka Development, is to design, build and maintain a 17-storey residential development block with 158 units, plus a few other smaller commercial units.
The development is at 799 New Upper Changi Road.
Construction works will begin on Jan 2 and is not seen to have any material impact on the consolidated net tangible assets per share and consolidated earnings per share of Keong Hong for the financial year ending 30 September 2023.
The new controlling shareholder is LJHB Holdings (S), with around 60% of the shares, is headed by CEO Xu Quanqiang, who was already a non-independent, and non-executive director of Keong Hong when he made the offer.
Since Sept 1, Xu has been designated as an executive director, while Ronald Leo (picture) remains chairman and CEO.
See also: Construction demand to rise to $38 billion in 2024: BCA
Keong Hong shares last traded at 29 cents.
