KUALA LUMPUR (Nov 4): Water and wastewater engineering firm Salcon Bhd has inked an agreement with Appraisal Property Management Sdn Bhd (APM) to provide transportation services for the employees of APM to its clients' sites.

In a Bursa Malaysia filing, Salcon said its wholly owned subsidiary Eco-Coach & Tours (M) Sdn Bhd has entered the agreement with APM, with the job commencing on March 1, 2023 until Dec 31, 2026. APM's principal activity is to carry out property or facilities management services.

According to Salcon, the contract fee for the job is about RM9.08 million per annum (excluding 6% government tax).

"The above prices are based on the fuel price @RM2.15 per litre. This pricing is fixed through the contract tenure except for statuary changes," it added.

The project is expected to contribute positively to Salcon's earnings and net assets for the financial year ending Dec 31, 2023 to Dec 31, 2026.

As of 3.50pm on Friday (Nov 4), Salcon's share price went up one sen or 6.25% to 17 sen, with a market capitalisation of RM172 million. So far, 2.95 million shares were traded.