Hartanah Kenyalang’s Managing Director, Mr Seah Boon Tiat, commented,

“Today, with the RM19.3 million in funding successfully raised from our IPO exercise, we are going to utilise approximately RM3.0 million of the IPO proceeds to purchase six new excavators in order to increase our capacity and productivity. In addition, we also plan to expand into offering design and build services for our building construction services segments and infrastructure construction services segments by investing in Building Information Modelling system (BIM).”

“Under the Sarawak State Budget 2025, the state government has allocated a sum of approximately RM1 billion specifically for the construction of various roads and bridges to improve the land infrastructure and connectivity in Sarawak. Against the backdrop of strong growth prospects in Sarawak’s construction sector, we have tendered for various building and infrastructure construction projects, with an aggregate contract value of RM451 million as of 30 April 2025. One of the infrastructure projects tendered by Hartanah Kenyalang is to construct a bridge by adopting the design and building method. The adoption of design and build construction method by incorporating BIM into Hartanah Kenyalang’s operations will help the company to climb up the value chain in the construction industry and increase its overall competitiveness.”

“The Sarawak state government is currently actively implementing water projects in line with the Sarawak Water Supply Master Plan and the Sarawak Water Grid System to ensure a sustainable and uninterrupted supply across the state. Since 2018, the Sarawak government has allocated RM4.6 billion for water projects, covering 407 initiatives under its water master plan, alongside the water grid system, outline the state’s aims to meet the rising demand for clean water across the state. Amongst the areas in which Hartanah Kenyalang could participate under the state government’s water master plan initiatives are the replacement and installation of new water pipes in Sarawak. The state government has allocated significant funds to replace and upgrade 2,740 kilometres of old water pipes over the next five years. Currently, the state government is actively implementing this replacement and upgrading projects across the Sarawak state.”

“Sarawak’s current overall water supply coverage stands at 85.4 per cent, with rural areas falling behind at 70.5 per cent. In 2024, RM247 million was allocated for this initiative. However, as the implementation only began towards the end of last year, the project has been extended into 2025. For 2024, an additional RM204 million has been approved, bringing the total budget up to more than RM450 million for implementation in 2025. This conducive development augurs well for Hartanah Kenyalang to expand its business portfolio and bid for water related works from the state government in the future.”

“In view of Sarawak is playing a growing role in the global energy sector, the state government had directed Sarawak Energy Bhd (SEB) to undertake a review and restructure its organisational framework which involves the separation of power generation from distribution, where power generation will involve investments from the private sector. SEB will continue its function as the single buyer for electricity distribution in Sarawak, where private sector players implement large-scale solar and other renewable projects, such as bio-energy and waste-to-energy initiatives. The development of new renewable energy sources through the independent power producer model is instrumental to meet Sarawak’s ambition of achieving 10GW of total installed capacity by 2030 and 15GW capacity by 2035.”

“Under the upcoming Sarawak Energy Transition Policy, the state government has set a target for renewable energy sources to make up at least 60% to 70% of power generation capacity by 2025. All the initiatives are ensuring to drive Sarawak’s vision of becoming both a “Battery of Asean” and a renewable energy powerhouse in this region. Against the backdrop of this vibrant renewable energy development, the Group is actively tendering for jobs to build substations at various locations in Sarawak. Substation forms parts of the electricity distribution networks to receive electricity from the renewable energy producers and deliver electricity to the end users. The Group is ready to harness the tremendous opportunities presented under the Sarawak Energy Transition Policy in the future.”