Flonic Hi-Tec eyes turnaround

PETALING JAYA: Flonic Hi-Tec Bhd expects to make a turnaround soon, driven by its building materials and project management operations segments.

Chairman Datuk Cheng Lai Hock said the loss-making company was very optimistic about the company’s future and was working hard to improve overall financial performance by streamlining operations and focusing on its two core businesses.

“Under building material operations, the group plans to expand its product offering to cater to a wider range of construction industry players.

“This includes new building material products of industrialised building system (IBS) which can cater for an efficient method of construction for all development sectors,” he told reporters after the AGM and EGM in Petaling Jaya on Wednesday.

He said the shareholders approved the company’s change of name to SC Estate Builders Bhd to reflect the company’s penetration into a broader spectrum in the construction industry in striving for better financial performance.

With the Malaysian government targeting affordable public housing under its strategic thrust of “A home for every household”, the company is encouraged to play a wider role in the construction industry, said Cheng.

Moving forward, he said, the company was targeting for more contruction companies awarded with affordable public housing projects in their respective state.

The group has just been awarded over RM30mil worth of affordable public housing projects in Malacca, and he said the company was currently in the midst of negotiations with many parties.

He said the company was changing its direction into the IBS (industrialised building systems) segment from its traditional core business previously, adding it had not decided on the amount to be invested into the IBS business, which would be starting soon.

He said the company recently completed a private placement and a significant part of its some RM20mil in cash reserve would be allocated for the segment. - Berbama