Tuju Setia bags RM359 mil Sime Darby Property contract for Ara Damansara residences

PETALING JAYA (April 15): Tuju Setia Bhd (Tuju Setia) has secured a RM359.28 million construction contract from Sime Darby Property Bhd for the proposed construction and completion of Ara Bloc Residences at Ara Damansara, Selangor. 

According to its Bursa Malaysia announcement today (April 15), Tuju Setia’s wholly-owned subsidiary Pembinaan Tuju Setia Sdn Bhd (PTS) accepted the Letter of Award from Sime Darby Property (Ara Damansara) Sdn Bhd, a wholly-owned subsidiary of Sime Darby Property, for a contract sum of RM359,277,942.63.

Three towers on a podium at Ara Damansara

The contract covers the construction of three blocks of 17-storey business service apartments on a nine-storey podium comprising retail units, car park, resident facilities and utilities at Lot 92088, Jalan PJU1A/3A, Ara Damansara, Mukim Damansara, Daerah Petaling, Selangor. 

The contract is for a duration of 40 months, tentatively scheduled to commence on April 21, 2026. 

Tuju Setia said the contract is expected to contribute positively to the group's earnings and net assets per share for the financial year ending Dec 31, 2026 through to completion, with no effect on the company's share capital or shareholding structure.

Not a related party transaction

Tuju Setia confirmed the contract is not a related party transaction pursuant to Paragraph 10.08(11)(c) of Bursa Malaysia's Main Market Listing Requirements. 

The filing noted a common non-executive directorship held by YAM Tengku Datuk Seri Ahmad Shah Alhaj Ibni Almarhum Sultan Salahuddin Abdul Aziz Shah Alhaj in both Tuju Setia and Sime Darby Property, but confirmed that none of the directors or major shareholders of Tuju Setia, or persons connected with them, have any direct or indirect interest in the contract. 

Risk factors are described as normal operational and execution risks in the ordinary course of business for PTS. The board is of the opinion that acceptance of the contract is in the best interest of the company.

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