KUALA LUMPUR: Southern Cable Group Bhd has secured a RM99.6 million contract extension from Tenaga Nasional Bhd (TNB) to supply underground cables and conductors of various sizes.
The contract was awarded to Southern Cable's subsidiary, Southern Cable Sdn Bhd, increasing the total value of the company's ongoing supply agreement with TNB to RM854.3 million.
The substantial order highlights the company's ability to deliver quality and reliable solutions that meet the demands of Malaysia's power infrastructure.
Managing director Tung Eng Hai said Southern Cable is committed to supporting TNB's development initiatives through our cable and wire solutions that enable grid expansion, renewable energy integration, and modernisation efforts.
"Furthermore, the growing demand for our cables and wires, driven by increasing activity in data centres, manufacturing, construction, and infrastructure, presents significant growth opportunities.
"Our robust production capacity ensures a reliable supply to support various sectors," he said in a statement.
With the latest contract, Southern Cable's orders in hand now exceeds RM1.0 billion, providing strong revenue visibility until 2026.
These orders encompass the supply of cables and wires, rectifier and battery systems, and other related products.
The contract builds upon Southern Cable's successes in securing significant orders from TNB, totalling RM754.7 million from 2022 to 2023.
The consistent track record highlights the company's ability to deliver reliable solutions to meet the growing industry demands.
Southern Cable has been a registered supplier of cables and wires with TNB for over 20 years.
Southern Cable's share price was down one per cent to 96.5 sen a share, giving it a market capitalisation of RM806 million at midday.