PETALING JAYA: WCT Holdings Bhd
’s latest RM529mil mixed development contract for Abu Dhabi’s Yas Island enclave brings the group’s financial year 2026 (FY26) year-to-date new contract wins to RM417mil, says CIMB Research.
This represents about 21% of WCT’s projected RM2bil target for FY26.
On June 18, a 50:50 unincorporated joint venture (JV) between WCT’s subsidiary, WCT International Sdn Bhd, and United Arab Emirates (UAE)-based Construction General Contracting House Ltd (CGCH) secured the Yas Living Main Works Package in Abu Dhabi.
The project, awarded by CGCH to the JV, entails constructing three 12-storey commercial and residential buildings across two phases within the Yas Island enclave.
In a note to clients, CIMB Research said WCT is no stranger to the Yas Island development, having previously delivered the landmark Yas Marina Circuit with a gross development value (GDV) of RM4.3bil and the adjacent Yas Marina Royal Yacht Club (GDV of RM270mil), underscoring its established track record in the UAE market.
The construction for the newly secured mixed development project in Yas Island is scheduled to commence in the third quarter of 2026 and completed within 972 days (or approximately 2.7 years) from the commencement date.
Meanwhile, CIMB Research said: “We remain mindful of potential execution risks in the UAE construction market.”
While building materials supply chains are generally supported by well-established local manufacturing and distribution networks, the research house noted that reliance on imported feedstocks for structural components (such as steel billets) and aluminium production disruptions could expose the new project to procurement uncertainties and cost escalation amid ongoing geopolitical tensions, potentially cascading down to project delivery delays.
