PETALING JAYA: IJM Corp Bhd
’s 100%-owned Industrial Concrete Products’ (ICP) newly commissioned factory in Bestari Jaya is expected to bode well for the group.
In a report, CGS International (CGSI) Research said it had visited ICP, which is also Asean’s largest spun pile complex.
With 13 production lines across 10 facilities nationwide, the factory leverages on automation, reducing manpower dependency by 40%, from 180 workers to 110.
According to the research firm, the potential savings for these could be up to RM3mil annually.
In addition to that, the ICP factory has a rooftop solar photovoltaic or PV system that generates energy savings of up to RM1.1mil per annum.
Furthermore, the research firm said that ICP will not be bundled with IJM Corp’s construction arm listing which is expected at the end of 2027.
CGSI Research explained the commissioning of the Bestari Jaya plant is well-timed to capture the data centre rollout in the central region, where orders have been very strong.
It added ICP will be crucial for IJM Corp’s bidding for the Penang LRT Rail Bridge Package 3, because it will be one of the two local players that can build marine piles.
Downside risks include slow project awards and higher raw material costs.
