Naza TTDI set to bag RM14b job
Monday, October 26, 2009
The property arm of the Naza Group is set to bag the job to build Malaysia's largest international conference and exhibition centre for heavy industries
NAZA TTDI, the property arm of the Naza Group, is set to clinch a RM14 billion property development project on a 24.2ha parcel of land near the Malaysia External Trade Development Corp (Matrade) headquarters in Kuala Lumpur.
Sources said the flagship project will be the construction of Malaysia's largest international conference and exhibition centre.
It will specifically cater to heavy industries like shipping, machinery, trains as well as high technology industries such as aerospace.
"The expo centre is part of the government's vison to elevate Malaysia as a regional hub at par with South Korea, China and Japan as well as bolster innovation among Malaysians," said a source.
The project will also include residential units such as condominiums as well as commercial buildings and may take at least five years to complete.
It is understood that the project will be signed between the government and the Naza Group as early as the end of this month (October 2009).
"The expo centre will offer something different because traditionally people always go to the Putra World Trade Centre, Kuala Lumpur Convention Centre and Matrade headquarters for small- and medium-scale events, furniture fairs, export-import fairs or auto shows.
"This massive expo centre will offer something never done before, which are heavy industries such as ships and airplane components and even aerospace," said the source.
Sources said the Naza Group is currently seeking financial partners and is willing to do the project on a joint-venture basis.
It has approached banks like CIMB Group Holdings Bhd, the AmBank Group as well as government-owned funds like the Employees Provident Fund and Permodalan Nasional Bhd.
Neither Naza TTDI managing director SM Faliq SM Nasimuddin nor other Naza officials responded to questions sent by Business Times.
The Naza Group, traditionally known for its automotive operations, also aims to gain equal prominence in its property business as it targets to become among Malaysia's top three developers in five years.
The group is sitting on 180.59ha of land in the Klang Valley with a potential RM7.6 billion gross development value (GDV).
Naza TTDI raked in a net profit of RM86 million on revenue of RM239 million last year.
It has secured orders of RM1.8 billion from projects like the Platinum Park near the Kuala Lumpur City Centre, of which RM1.5 billion has yet to be billed.
Naza TTDI eyeing construction of Malaysia’s largest centre
A subsidiary of Naza Group, Naza TTDI is eyeing for Malaysia’s largest international centre used specifically for conference and exhibition events for heavy industries worth RM14 billion.
Stretched on 24.2 ha land located somewhere near Malaysia External Trade Development Corp (Matrade) headquarters in the capital city, Kuala Lumpur, Naza TTDI hopes to clinch the project to build the centre for machinery, shipping, trains and high technology industries namely aerospace.
According to some sources, the development of such project introduced by the government is meant to promote the country as a regional hub similar to other developed nations such as South Korea, China and Japan. Besides housing the centre, the project also consists of residential units which are expected to complete within five years.
The agreement of the project would be signed between Naza and the government by October 2009. The construction of such massive centre is totally different from the expo centre located in Putra World Trade Centre and KLCC. Those are catered for small and medium-scale events while this new centre is catered for heavy industries including ships, airplane and even aerospace.
Sources revealed that Naza Group is looking for suitable financial partners on a joint-venture agreement for the project. So far, Naza has discussed the matter with government-owned funds such as EPF and Permodalan Bhd as well as large financial banking namely Ambank Group and CIMB Group Holdings Bhd.