KUALA LUMPUR - Melati Ehsan Holdings Bhd said a 49%-controlled unit has secured a RM652.98mil concession to undertake the development of Universiti Malaysia Sabah (UMS) Teaching Hospital in Kota Kinabalu, Sabah, and its asset management services.

In a filing with Bursa Malaysia yesterday, the construction outfit said its 49% joint-venture company, B.H.O Melati Sdn Bhd (BHOME), had entered into a concession agreement with the Education Ministry and UMS to undertake the development of UMS Teaching Hospital and carry out the asset management services for 30 years.

Melati Ehsan said the 30-year concession period starts from the date of the fulfillment of conditions precedent or the construction commencement date, whichever was later. The construction is expected to be completed within 36 months from the construction commencement date.

In addition, the company said the asset management services, which covered the asset replacement programme and maintenance services to be provided by BHOME in respect of the facilities and infrastructure of UMS Teaching Hospital, would commence upon the issuance of the certificate of acceptance on the facilities and infrastructure by UMS.

“The concession is expected to contribute positively to the future earnings of the Melati group,” it said.

Source: The Star