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Friday April 20, 2012

Deftech expands plants for AV8

KUALA LUMPUR: DRB-HICOM Defence Technologies Sdn Bhd (Deftech) is spending about RM100mil to expand its plants in Pekan, Pahang, and Nilai, Negri Sembilan, to cater for the production of 8x8 Armoured Wheeled Vehicle (AV8) for the Malaysian military, slated at end-2013.

Chief executive officer Abdul Harith Abdullah said the construction of new facilities would start after the 13th Defence Services Asia 2012 (DSA 2012) and it should be ready for the first unit of sealed pattern (prototype) to arrive in Malaysia by September.

“We have to make proper preparation for the arrival of the sealed pattern. We have to be prepared in terms of manufacturing works, quality testing as well as certification,” he told Bernama on the sidelines of DSA 2012.

The upgrading of facilities includes improving the security system, larger storage space complete with racking system, maintenance, repair and overhaul and administrative block.

Abdul Harith said the Pekan plant would manufacture the AV8’s hull (platform) while the Nilai plant would make its turret.

He said the AV8 contract would provide financial sustainability for Deftech in the next seven years and would start to reflect in its 2013 financial year. “We expect a 50%-60% jump in revenue.” — Bernama