KUALA LUMPUR: While many construction firms in Malaysia are competing for local government contracts, Eversendai Corp Bhd has been taking its game to a different level by growing its construction as well as oil and gas businesses abroad, particularly in the Middle East, India and Southeast Asia.
The structural steel turnkey contractor, which now sees 90 per cent of its business coming from abroad, is confident that it can achieve its RM2 billion revenue target by 2017.
Managing director Tan Sri A.K. Nathan said the company was currently bidding for various contracts worth RM17 billion, with an expected tender success rate of 15 to 20 per cent. The company’s order book balance stood at RM1.8 billion as at June 30.
Eversendai’s business portfolios include structural steel; power and process plants; oil and gas (O&G) process modules as well as composite and reinforced concrete building structures.
The group’s earnings dropped 71.68 per cent in 2013, compared with the previous year, but he was sure of a pick-up in future.
“Right now, we are seeing an economic upside, particularly in the Middle East, and better business opportunities in India, Indonesia and Vietnam,” he said.
“We are looking at growing our business in Iran as we expect improvement in its
business regulations, which will make it easier for foreign companies to run operations there.”
Currently, O&G business contributes less than 10 per cent to the company but this is projected to increase to 50 per cent in the near term following RM8 billion worth of contracts it has submitted bids for.
Nathan said he hoped to be able to announce a few projects in the next few weeks.
Eversendai Corp has a dedicated workforce of more than 10,000 and an impressive portfolio of more than 290 accomplished projects in over 14 different countries.
It has five steel fabrication factories in Dubai, Sharjah, Qatar and India with an annual capacity of 150,000 tonnes.
The company has participated in the construction of some of the world’s most iconic structures.
These include the Burj Khalifa and Burj Al Arab Hotel in Dubai, Capital Gate Tower and Cleveland Clinic in Abu Dhabi, Khalifa Olympic Stadium in Qatar, Petronas Tower 2 in Malaysia, the Kingdom Centre in Saudi Arabia and Republic Plaza in Singapore.
One of the company’s ongoing projects overseas is a liftboat/self-propelled jack-up at its waterfront yard in Ras Al Khaimah in the United Arab Emirates.