HE Group‘s wholly-owned subsidiary, Hexatech Engineering SB, has accepted the letter of intent valued at RM47m for the supply and installation of 275kV electrical works for a data centre (DC) in Johor.
The job commences on the date of acceptance and is targeted for completion by Jan 2027.
HE Group
“We understand that Management is confident to secure the formal contract. As such, we lift the group’s outstanding orderbook to c.RM320m, while its tenderbook stands at c.RM850m currently.
“Although this job falls within our RM250m replenishment target, we raise our FY26 replenishment target to RM280m and lift our FY26-28F earnings forecasts by an average of 11%, reflecting larger than expected tenderbook conversion.
That said, with the orderbook now approaching maximum capacity and limited upside, we maintain our Neutral call with a higher TP of RM0.68, based on 14x FY27F EPS,” analysts from PIB says.
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