construction industry in 2008

Bank Negara forecasting a 6.3% growth. Building and transportation-related jobs were abundant.

RM200 billion in government development allocation under 9MP, RM63.76 billion had been spent and a total of 29,957 projects approved under the 9MP.

Ipoh-Padang Besar double-tracking railway project has been awarded to Gamuda Bhd and MMC Corp Bhd.

The building of the second Penang Bridge and double-tracking project linking Seremban and Gemas.

RM8 billion Kuala Lumpur-Singapore bullet train project proposed by YTL Corporation Bhd.

Pahang-Selangor water transfer project, likely in the second half of 2008. dam construction, piping and pump works, tunneling works.

University Teknologi Mara’s new campus, RM520 million Putrajaya government offices, secured by Sunway Holdings Inc.

Melati Ehsan Bhd, Mudajaya Bhd, Pintaras Jaya Bhd and Protasco Jaya Bhd, which would see stable and recurring income from government concessions.

The regional economic corridors, particularly the East Coast Economic Region (ECER), Iskandar Development Region (IDR) and Northern Corridor Economic Region (NCER), expected to generate RM656.6 billion of investment over the next 13 to 18 years, and RM8 billion allocated for 2008.

The IDR has already seen players such as UEM World Bhd secure major projects, with smaller players such as Putrajaya Perdana Bhd tipped to clinch projects in the corridor from Aldar Properties PJSC of Abu Dhabi.

Large and medium cap players contending for ECER projects are Ahmad Zaki (oil and gas related infrastructure works), IJM group and Loh & Loh (water-related infrastructure jobs) and TSR Capital Bhd.

Ahmad Zaki, TSR Capital and TCR Synergy Bhd, viaing for the northern region.

Hock Seng Lee Bhd and Naim Cendera Holdings Bhd are expected to rise to prominence with the impending launch of the Sabah and Sarawak (Sarawak Regional Corridor of Development) corridors.

source:
http://www.theedgedaily.com/cms/content.jsp?id=com.tms.cms.article.Article_3861a846-cb73c03a-39060b00-4b390d07
BNP Paribas Capital (Malaysia) Sdn Bhd (BNP Paribas), OSK Research’s Jeremy Goh, Aseambankers Equity Research.