Site icon Alpha Edge Investing

CIMB: Malaysia Construction (Neutral) – Gamuda, HSS Engineers, IJM Corp

A worker is seen at a construction site, with the Malaysia's landmark Petronas Twin Towers in the background, in Kuala Lumpur September 11, 2013. Malaysia state energy firm Petronas is in talks with producers, buyers and traders on setting up a new mechanism to price oil produced in the Asia-Pacific to better reflect regional supply and demand, sources familiar with the matter said. REUTERS/Bazuki Muhammad (MALAYSIA - Tags: BUSINESS CONSTRUCTION ENERGY)

The building blocks of sustainability

? Malaysia’s construction space enters the transformation phase in 2022 with
sustainability initiatives, which could be an alternative recovery angle.
? We see a shift towards climate action and sustainable mega projects;
RM31bn MRT 3 has been reactivated as part of “green growth” agenda.
? Water, flood mitigation and transport projects are key potential beneficiaries
of this theme, which bodes well for Gamuda, IJM Corp and HSS Engineers.
? Neutral sector rating unchanged. Execution and funding are key risks.

Exit mobile version