Contract win sends Tatt Giap shares up 2.94%

KUALA LUMPUR: Shares in Tatt Giap Group Bhd rose almost 3% in early trade Tuesday on the back of RM11mil worth of related party jobs.

The counter gained 2.94%, or 0.5 sen to 17.5 sen while Tatt Giap-PR plunged 33.33%, or one sen to two sen.

Tatt Giap has secured two contracts worth a combined RM10.57mil from Dynaciate Fabricators Sdn Bhd to undertake steel fabrication and piping pre-fabrication works.

The group said its wholly-owned subsidiary Superinox Pipe Industry Sdn Bhd had received two letters of awards (LOAs) from Dynaciate to undertake the sub-contracting works.

The projects are related party transactions as Dynaciate is a wholly-owned subsidiary of Dynaciate Engineering Sdn Bhd (DESB), a major shareholder of Tatt Giap with a 12.95% stake.

DESB's major shareholders are Tatt Giap executive directors Khoo Song Heng and Woon Kok Kee, who hold 44.59% and 35.41% in DESB respectively.