UUE Holdings Secures Record S$20.9 Million Contract in Singapore
UUE Holdings Bhd’s wholly owned subsidiary, Konnection Engineering Pte Ltd, has successfully secured a significant contract valued at S$20.9 million (approximately RM67.3 million) from Wee Guan Construction Pte Ltd, marking the company’s largest single order win in Singapore to date.
This substantial contract underscores the growing demand for advanced underground-utilities engineering solutions, which is the core expertise of UUE Holdings.
The scope of work for this major project is comprehensive, covering both the supply and installation of 230kV power and auxiliary cables and all necessary accessories.
Furthermore, it includes the complex installation of high-density polyethylene (HDPE) pipes utilizing the specialized horizontal directional drilling (HDD) method.
The principal of the project is SP PowerAssets Ltd, a major entity in Singapore’s utilities sector.
This development is expected to provide a strong and stable revenue stream for the company, with the project slated for completion by the end of 2027.
This latest contract award immediately boosts UUE Holdings’ order book to an all-time high of RM521.9 million, providing the group with robust earnings visibility and financial predictability over the next two to three years.
The cumulative contract wins for the year-to-date have already surpassed RM362 million, firmly reinforcing the group’s established capabilities in consistently delivering high-quality, complex solutions for Singapore’s critical utility infrastructure projects, where precision and reliability are paramount.
The successful bid for this expanded scope reflects UUE Holdings’ strategic growth and execution prowess in the highly competitive regional market.
Expanded Scope Signals Growing Confidence in UUE
The landmark contract win is particularly significant as it represents a major strategic shift in the scope of work undertaken by Konnection Engineering, a key part of the UUE Holdings group.
Datuk Dr Ting Kok Hwa, the managing director of UUE Holdings, highlighted that the award from one of their long-standing customers serves as a strong reaffirmation of the group’s proven execution capabilities and its solid track record in meeting the stringent regional standards prevalent in Singapore.
He expressed considerable encouragement over this achievement, noting a crucial expansion in the company’s role.
Unlike previous contracts, which were often limited to smaller HDD service packages, the new job scope covers a full-scale role.
This now includes the comprehensive provision of materials, labor, and essential equipment, elevating UUE’s involvement and profitability potential per project.
This move into a full-scale execution role indicates a growing level of trust and confidence from major Singaporean clients in UUE Holdings’ capacity to handle projects from end-to-end.
Furthermore, the managing director confirmed that the planned expansion of the group’s in-house HDPE pipe manufacturing arm is progressing well and remains firmly on track.
This internal production capacity is specifically designed to support the growing market share and the demands stemming from these larger, more integrated contracts.
This vertical integration is expected to enhance both cost efficiency and supply reliability for UUE’s future projects.
Vibrant Construction Sector Drives Operational Growth
The positive momentum experienced by UUE Holdings is fundamentally supported by the dynamic and consistently vibrant construction sector in Singapore.
The company remains optimistic about its future prospects, stating its belief that it is exceptionally well-positioned to accelerate its operational growth within the country.
The demand for advanced underground utilities and robust infrastructure solutions is expected to remain high, fueled by Singapore’s ongoing urban development and infrastructure renewal projects.
By securing its largest contract to date and expanding its project scope to full-scale provision, UUE has clearly demonstrated its ability to capitalize on this favorable market environment.
The strategic focus on high-value services like 230kV power cable installation and sophisticated horizontal directional drilling (HDD), coupled with internal manufacturing capabilities, establishes a strong competitive advantage.
The substantial increase in the order book to over half a billion ringgit provides not only financial security but also the necessary platform for sustained investment in technology and human capital, which are essential for handling the complexity of future large-scale infrastructure works.
The group’s commitment to delivering high-quality solutions ensures it remains a preferred partner for major utility and construction companies in the region.
This combination of a strong backlog, strategic operational expansion, and a favorable market outlook positions UUE Holdings to significantly grow its revenue and solidify its status as a leading provider of specialized underground utilities engineering solutions in Southeast Asia.
