KUALA LUMPUR: Southern Score Builders Berhad, a leader in construction management for high-rise residential buildings and civil infrastructure, has garnered shareholder approval for a strategic move to maximize growth potential. The shareholders greenlit a proposal to extend the utilization timeframe of proceeds from a prior private placement, signaling the Group’s proactive stance towards enhancing its market position.
The Group, having raised RM108.6 million from a private placement in November 2022 and with RM46.0 million still untapped as of February 2024, has decided to reallocate RM21.8 million towards potential acquisitions. These acquisitions are carefully chosen to complement the Group’s existing business, particularly in the mechanical and electrical (M&E) construction domain. This strategic reallocation aims to infuse Southern Score with fresh avenues for growth while bolstering its earnings.
Mr. Gan Yee Hin, Executive Director and Chief Executive Officer of Southern Score, emphasized the Group’s deliberate approach, stating, “We are actively pursuing acquisitions that align with our core business, focusing on M&E construction. With robust discussions underway and a solid financial standing, we are well-positioned to seize these opportunities.” He highlighted the potential within high-tech industries, driven by significant foreign direct investments in Malaysia, as key areas for expansion.
The extended timeframe, ranging from 18 to 24 months, provides the Group with ample room to execute its strategic acquisitions and capitalize on emerging prospects within the M&E sector. Furthermore, this move is anticipated to diversify revenue streams and deliver enhanced value to stakeholders.
In a separate development, the Group declared an interim dividend of 1.0 sen per share for the financial year ending 30 June 2024, underlining its commitment to shareholder returns amidst strategic growth initiatives.
