Sanli announces $51.5 mil PUB contract wins as share price slides to 52-week low
SINGAPORE (Jan 22): Environmental engineering firm Sanli Environmental announced Tuesday it has secured two contracts worth a total of $51.5 million from the Public Utilities Board (PUB).
These contract wins will bring the group’s order book up to $185.9 million.
The first is an Engineering, Procurement and Construction (EPC) contract valued at $51 million, with Sanli to be involved in construction works for the replacement of mechanical and electrical equipment at Kranji water reclamation plant.
This contract is expected to contribute to Sanli’s revenue for the next two years from the FY20 ending Mar 31, 2020.
The second is an Operations and Maintenance (O&M) contract worth $0.5 million to provide maintenance services for the replaced mechanical and electrical equipment at the same water reclamation plant.
Sanli says this contract is expected to contribute to its revenue after the completion of the EPC contract.
“We are very excited to have secured a contract of this size from the public sector. We believe our established track record and strong capabilities have given us a competitive edge. This is also an indication of the level of confidence the public sector has in our abilities,” says Sanli CEO Sim Hock Heng.
“The group will continue to leverage on our established track record and work towards securing more contracts to grow the business further,” he adds.
As at 12.50pm, shares in Sanli are trading 3 cents lower, or down 14.3%, at 18 cents. The stock is currently trading near a 52-week low, having fallen from a peak of 31.5 cents in March last year.
