Malaysia's Serba Dinamik bags $1.8bn EPC deal from Block 7 in Abu Dhabi
The project covers three areas of interest including, an Innovation Hub, Academic Campus, and 455,000m2 of accommodation
Bursa Malaysia-listed Serba Dinamik Holdings has secured an engineering, procurement, and construction (EPC) services contract worth $1.8bn (AED6.6bn) from US-based Block 7 Investments at the UAE capital, Abu Dhabi.
The EPC contract has been awarded to Serba Dinamik International Ltd (SDIL), a wholly-owned subsidiary of Serba Dinamik Holdings.
In a stock market filing, Serba Dinamik said that the project covers three areas of interest including, the Innovation Hub, which includes the development of offices, restaurants, exhibition centres, and IT centres; Academic Campus; and accommodation which includes apartments and hotels, spanning a total built-up area of 455,000m2.
The scope of work includes, but is not limited to, designing, engineering, procuring, supervising, managing, supplying, transporting, constructing, commissioning, and the remedying of any defects in connection with the project works.
The company said that work on the project will commence on 14 May 2020.
It added in the missive: “The project forms part of Block 7’s initiatives to create a global incubator for the advancement of innovators for the technology, property, financial as well as energy sectors, to be positioned as a new landmark for Abu Dhabi.”
Under the terms of the agreement, the company said that it would be “liable for damages in the event of its failure to comply with the Time for Completion with a maximum amount of 10% of the Contract Price”.
Serba Dinamik will complete the project works within 1,460 days from the commencement date, with the contract award expected to contribute positively to the company’s net assets, consolidated earnings, and earnings per share for the financial year ending 31 December 2020.
It is expected to contribute positively to Serba Dinamik’s financials for the financial year ending Dec 31, 2020, it added.