KUALA LUMPUR (Sept 2): Advancecon Holdings Bhd has bagged a subcontract worth RM53.74 million for a job relating to the East Coast Rail Link (ECRL) project from China Communications Construction (ECRL) Sdn Bhd.

According to a filing with the local stock exchange today, its wholly-owned subsidiary Advancecon Infra Sdn Bhd (AISB) accepted the Letter of Award (LoA) as the subcontractor for proposed construction and completion of subgrade and related works for the ECRL project.

The contract period is 28 months. It will start from Sept 7, 2020, and conclude by Jan 6, 2023.

Barring any unforeseen circumstances, the contract is expected to contribute positively towards the group’s future earnings for the duration of the contract and will not have any effect on the group’s share capital and substantial shareholders’ shareholdings.

AISB is principally involved in the business of providing earthworks and civil engineering services.

Advancecon said the group intends to fund the job via internally- -generated funds and/or external borrowings.

Shares of Advancecon closed unchanged at 39 sen today, valuing the company at RM154.3 million.