As reported in The Star Online, NWP Holdings Bhd, a timber product manufacturer, has inked a turnkey construction heads of agreement (TCA) with an estimated gross development value (GDV) of RM745mil to undertake six affordable housing projects under Syarikat Perumahan Negara Bhd (SPNB) and Perbadanan PR1MA Malaysia, .

NWP told Bursa Malaysia on Wednesday that through this TCA signed with M2B World (M) Sdn Bhd, the diversification into construction would provide an alternative income source.M2B World had secured the contracts -- comprising projects in Selangor (Ampang), Sabah (Sandakan), Pahang (Pekan) and Kelantan (Kota Baru, Ketereh and Kuala Krai) -- from SPNB and PR1MA about four months ago.M2B World agrees to award the construction of the projects to NWP subject to the parties entering into a definitive agreement within three months  or any further extended period as the Parties may mutually agree

NWP, which has a paid-up capital of RM80mil and market capitalisation of RM123.2mil said its unit NWP Builder Sdn Bhd, currently dormant, was in the midst of applying as a Class G7 contractor with the Construction Industry Development Board. This would allow it to tender for Government and private sector projects of any size and value.

NWP plans to finance the projects through various equity fund raising exercises and/or debt financing.

Click here in order to read the full article as published in The Star Online.