Southern Cable Group Bhd has secured a supplementary contract worth RM403.6 million from Tenaga Nasional Bhd (TNB) to continue supplying power cables for the national electricity distribution network.
In a statement, the cable and wire manufacturer said the contract covers the supply of underground power cables and conductors to TNB’s Distribution Network Division.
The latest award stems from TNB’s exercise of an add-on option under the original contract that was awarded to Southern Cable in February 2025.
The supplementary contract extends the supply arrangement for an additional one-year period, from August 2026 to August 2027, while increasing the overall contract value.
Following the latest award, Southern Cable’s outstanding order book has exceeded RM1 billion, providing the group with stronger earnings visibility through to 2027.
Southern Cable Group Bhd, Managing Director – Tung Eng Hai.
Managing director Tung Eng Hai said the supplementary contract reflects TNB’s continued confidence in the group’s ability to deliver high-quality products that meet the stringent technical and reliability standards required for Malaysia’s electricity grid.
He added that the award also underscores the sustained demand for power cables amid ongoing investments in the country’s energy infrastructure.
According to Tung, Malaysia’s power sector continues to benefit from key growth drivers, including the expansion of renewable energy projects, the rapid development of data centres and increasing industrial activities, all of which are expected to support long-term demand for power transmission and distribution infrastructure.
The contract is expected to contribute positively to Southern Cable’s earnings over the duration of the supply period while reinforcing its position as one of TNB’s key cable suppliers.
