FYE2018 will be a turnaround time for AZRB which construction,oil & gas, plantation division are in the better prospect.

Rakuten TP1.66 will come true in 6months - 12months time.

AHMAD ZAKI RESOURCES BERHAD

Type Announcement
Subject OTHERS
Description THE PROPOSED CONSTRUCTION AND COMPLETION OF BLOCK 11 & BLOCK 12 OF ACADEMIC BUILDINGS FOR FACULTY OF GEOSCIENCES AND PETROLEUM ENGINEERING AND TNB 33KV SUBSTATION AT UNIVERSITI TEKNOLOGI PETRONAS, BANDAR SERI ISKANDAR , PERAK DARUL RIDZUAN
-LETTER OF AWARD
The Board of Directors of Ahmad Zaki Resources Berhad (“AZRB or the Company”) is pleased to announce that its wholly-owned subsidiary, Ahmad Zaki Sdn Bhd has on 21 December 2017, received and accepted a Letter of Award from Institute of Technology Petronas Sdn Bhd (“the Award”) for a project known as “The Proposed Construction and Completion of Block 11 & Block 12 of Academic Buildings for Faculty of Geosciences and Petroleum Engineering and TNB 33kv Substation at Universiti Teknologi Petronas, Bandar Seri Iskandar, Perak Darul Ridzuan” (“the Contract Works”).

The Award for the Contract Works amounted to a total value of RM138,380,277.91. The Contract Works is expected to be completed in the next 30 months until 15 July 2020.

The Contract Works is expected to contribute positively to the Group’s future earnings.

None of the Directors and Substantial Shareholders of AZRB or any persons connected with them has any interest, direct or indirect, in the Contract Works.

The Board of AZRB is of the opinion that the Contract Works is in the best interest of the Company.



This announcement is dated 21 December 2017.

Technically broken the trend line and major support seen at 1.02-1.03.

However key take away:-
1. Existing orderbook around 4.0bil, according to The Edge 13 Apr 2017, interview to MD, tenderbook around 5bil.
2. Turnaround for plantation division.
3. Concession and recurring income from IIUM Medical Centre.
4. Toll concession for EKVE(prior to this will see revenue channel to construction revenue)
5. April private placement at RM0.98(the price now is only 7% premium compare to the private placement)
6. Low volume for the the past sell down(price fluctuation between 1.02-1.2).
7. Tabung Haji, Public Mutual, Neoh family, HLA, Manulife was the major shareholders.
8. Historically Q3,Q4 will be a better result. Q1,Q2 has shown turnaround in NPT and EPS. Gearing remained high due to financing of EKVE.

Continue to monitor if Rakuten trade of TP1.66 will come true in 6months - 12months time.