KUALA LUMPUR: Boustead Heavy Industries Corp Bhd’s (BHIC) shares gained almost 9% in early trade Friday, to hit a three weeks high.
It rose 8.91%, or 4.5 sen to 55 sen, its highest in three weeks. Year-to-date, the counter has depreciated some 4.3%.
BHIC’s wholly-owned subsidiary has been awarded a contract worth RM78.14mil from the Ministry of Defence (Mindef) for the upkeeping of submarine facilities for the Royal Malaysian Navy.
BHIC said its BHIC Submarine Engineering Services Sdn Bhd (BSES) received the letter of acceptance from the Ministry on April 7 for the two-year job that will be in effect from Jan 1, 2021 until Dec 31, 2022.
"It is expected to contribute positively to the earnings of the BHIC group for the financial year ending Dec 31, 2022,” it said.
The group said a formal contract between the government and BSES will be finalised and executed at a later date.