Eversendai slides 24% on Saudi contract loss amid Middle East tensions


KUALA LUMPUR: Eversendai Corp Bhd shares fell in early trade on Wednesday after its Trojena Ski Village contract in Saudi Arabia was terminated amid escalating Middle East tensions.

The counter dropped 23.94%, or 8.5 sen to 27 sen at 9.41am, bringing its year-to-date decline to about 35.7%. It was also among the most actively traded stocks on Bursa Malaysia, with 20.55 million shares changing hands.

Eversendai announced that its structural steel contract for the Neom Trojena Ski Village has been terminated.

ALSO READ: Eversendai’s steel scope contract for Neom Trojena Ski Village terminated

“Until the date of the notice (March 26, 2026), Eversendai had fully committed and delivered the project as per the contractual obligations with no compromise to safety and quality and we believe this has happened due to the current geopolitical situation in the Middle East,” it said in a statement.

Eversendai said it is currently preparing the necessary documentation to substantiate the project’s progress up to the termination date, including commercial claims and related demobilisation costs to be compensated by the client.

“We strongly believe that our fully substantiated claims shall be fairly compensated by the client,” it added.

Eversendai announced in July 2024 that it was partnering with Emirates Steel, a unit of Abu Dhabi’s Emirates Steel Arkan Group, to construct the Neom Trojena Ski Village.

It’s order book currently stands at RM2.02bil, excluding the balance works for Trojena.

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