Southern Score Builders Bhd (Southern Score Builders), which is well on its way to an ACE Market listing on November 9 following the successful reverse takeover (RTO) of G Neptune Bhd, is leveraging on its end-to-end management services for property construction projects to grow the business.
The G7 contractor rode in as the white knight for G Neptune, which has been under GN3 status since December 2017, after shareholders of G Neptune voted overwhelmingly to approve the RTO at an EGM on Sept 13.
To sweeten the deal, Super Advantage Sdn Bhd, the vendor of Southern Score Sdn Bhd (SSSB), is providing a cumulative net profit guarantee of RM80.0 million for the financial years ending Dec 31, 2022 (FY2022) to FY2024. Through the RTO, SSSB is now the wholly-owned operating subsidiary of Southern Score Builders.
The RTO effectively makes Super Advantage’s shareholders, Tan Sri Datuk Seri Gan Yu Chai (Gan), and his son Yee Hin, controlling shareholders of Southern Score Builders with a 74% stake.
Gan, SSSB founder and three-decade veteran of the construction industry, is the Managing Director of Southern Score Builders and Yee Hin is the Chief Executive Officer and Executive Director.
Executive Director and Chief Executive Officer of Southern Score, Gan Yee Hin said,
“The company would leverage on its end-to-end project management services, which includes project planning and design development all the way to project completion, to attract more business. We have the network and the industry expertise to manage everything for the property developers while ensuring that projects are completed on time.
Malaysia’s economic recovery is well on its way based on growing exports, stable employment and wages data as well as government measures and policy that continue to be supportive of business and consumers. This recovery is positive for the construction sector, with activities in the civil infrastructure side, especially in transportation projects such as MRT3, fuelling interest in property projects located near the stations. Through our asset-light and flexible delivery model, we ensure a standardised and cost-efficient building process that is important at a time of volatile prices”
Yee Hin also said, adding that the company is mitigating the risks from volatile prices through allocating a portion of the RM108.61 million proceeds raised from a private placement as part of the RTO for the purchase of building materials and the acquisition or rental of construction assets.
“We are also expanding the manufacturing capacity of TSPC’s facility through an allocation from the private placement proceeds as we seek opportunities to grow the IBS products business given the emphasis in the construction industry on sustainable building practices and operations and government initiatives encouraging such adoption”.
To-date, Southern Score Builders has an orderbook of RM528 million, with two projects having been secured this year. The company’s ongoing projects are :
- Vista Wirajaya 1 at PV9 Residences
- Vista Sentul Residences
- Vista Harmoni Sentul,
- Platinum Arena Residences and
- Berlian Setapak 2 Residences.
ABOUT SOUTHERN SCORE BUILDERS BERHAD
Beginning operations in 2012 under the leadership of Tan Sri Datuk Seri Gan Yu Chai, Southern Score is principally involved in the provision of construction management services mainly in Kuala Lumpur. The scope of Southern Score’s construction services involves the provision of professional project management services from project initiation until the completion of construction works. These services encompass project initiation, planning and design, appointment of subcontractors, procurement; construction project management as well as inspection and completion handover. To-date, Southern Score has completed several projects including, amongst others, the PR1MA Jalan Jubilee project. Southern Score is a CIDB Grade 7 contractor.