KUALA LUMPUR, Integrated engineering solutions provider Kelington Group Berhad (“Kelington” or “Group”) (stock code: 0151), via its wholly-owned subsidiary Kelington Engineering (S) Pte. Ltd. (KESG), has received a Letter of Award (LOA) worth SGD33.0 million (approximately RM108.0 million at SGD1:RM3.28) to execute a bulk gas distribution piping system for an Advanced Packaging Facility Project in Singapore.
The contract was awarded by a turnkey engineering specialist on behalf of the project owner, a leading global semiconductor manufacturer. Work on the project will begin immediately and is expected to be completed by December 2026. Kelington has previously completed multiple facility expansion projects for this repeat customer in Singapore.
This new facility focuses on high-bandwidth memory advanced packaging, a key technology for artificial intelligence (AI) applications that require advanced memory and storage solutions. It is also the first in Singapore recognised by the Global Lighthouse Network for leveraging big data and Industrial Internet of Things (IIoT) to implement AI in manufacturing.
Ir. Raymond Gan, CEO of Kelington Group, said, “The Group continues to benefit from the strong growth of the semiconductor industry, as manufacturers expand and upgrade facilities to keep pace with technological advancements and strengthen local supply chains. Our global expansion strategy positions us well to capture these opportunities and secure new contracts consistently.”
As of 30 June 2025, Kelington’s orderbook stood at RM1.3 billion, providing solid earnings visibility. Between July and August 2025, the Group secured RM299.9 million in new contracts. With the inclusion of this SGD33.0 million (RM108.0 million) project, total new wins in September amounted to RM407.9 million, with RM318.1 million coming from projects in Singapore and Europe.
“The semiconductor sector remains highly active, and we expect further contract wins as global manufacturers invest in next-generation technologies. This award reinforces Kelington’s reputation in delivering complex engineering projects and positions us to benefit from growing AI-driven demand,” he added.
Globally, the semiconductor industry continues to show strong growth. According to World Semiconductor Trade Statistics, the market generated US$346 billion in H1 2025, an 18.9% year-on-year increase, driven by expanding data centre infrastructure and rising AI adoption. In addition, Kelington has established a new subsidiary in Japan to support a client’s expansion plans, with further projects currently under discussion.
