The Simpang Ampat plant will help ramp up the company’s production of prefabricated apartments to 5,000 per year.
Scandinavian IBS Sdn Bhd (SIBS) has expanded its operations with a new plant at Penang Science Park in Simpang Ampat.
This is part of a five-year multi- phase RM500mil investment to increase the industrialised building system manufacturer’s production lines to four.
This will create 1,200 job opportunities and generate an estimated RM552mil in economic value through local sourcing of raw materials and components.
SIBS Group co-founder and chief executive officer Erik Thomaeus said there was huge demand for prefabricated homes as they could be completed in roughly half the time and at a third of the cost compared to those built with traditional methods.
Everything is contained within steel frames from the living room, kitchen, bedrooms and bathrooms to the stairs.
These modules are then assembled in residential or commercial areas to create fully functioning apartments.
“We are a disruptor in the global construction industry today, and a pioneer that has changed the concept of construction,” Thomaeus said during the grand opening of the plant on a 6ha site.
(From left) Bergstrom, Abdul Halim, Erik, Najihah and Par at the launch of Scandinavian IBS Sdn Bhd’s new plant.
“Since we set up our first factory in Penang three years ago, we have produced over 5,000 modules and completed over 1,300 apartments in Sweden.
“With this new factory, we will be the largest high-quality volumetric module provider for permanent apartments in the world,” he said.
The new plant will increase SIBS’ total production to 5,000 apartments per year.
Currently, all of them are exported to Sweden.
The company will enter the UK and Ireland market in 2023, and is eyeing other Scandinavian countries by 2024.
Sweden’s Ambassador to Malaysia Dr Joachim Bergstrom was delighted to see another Swedish firm bringing global solutions to Penang.
“Sweden is a pioneer in developing cost-effective construction methods that enhance liveability, safety and sustainability,” he said.
Penang trade, industry and entrepreneur development committee chairman Datuk Abdul Halim Hussain said the state was courting investment in other sectors, apart from its main electrical and electronics industry.
“SIBS’ expansion will strengthen Penang’s economy and help upskill local talents,” he said.
Other major Swedish players in the state include Nolek, Nolato, Monitor ERP, Lexi Solution, Nefab and Ikea.
After the launch, Erik and SIBS co-founder Par Thomaeus took Bergstrom, Abdul Halim and Malaysian Investment Develop-ment Authority executive director for non-resource manufacturing development Najihah Abas on a tour of the solar-powered plant.
