KUALA LUMPUR, April 12 — GDB Holdings Bhd has set a target to secure RM500 million worth of new jobs this year to further propel the group, on top of its current tender book which stands at RM1.3 billion.
To this end, its group managing director Cheah Ham Cheia said the integrated construction group last March 11, successfully completed the construction of AIRA Residence, ahead of the contractual completion date.
“This lends credence to GDB’s commitment and capability in delivering projects ahead of schedules. We are optimistic of making encouraging headway in our current works in hand.
“Although Malaysia’s economic recovery is expected to be gradual, the ongoing rollout of the vaccines under the national COVID-19 immunisation programme is expected to help boost market sentiments,” he said in a statement.
He said the group believes in positioning itself for the long haul to capture viable opportunities in the construction sector in the near future.
As at Dec 31, 2020, GDB’s outstanding orderbook amounts to approximately RM2.1 billion, consisting mainly of construction works for AIRA Residence in Damansara Heights, Perla Ara Sentral in Ara Damansara, Park Regent in Desa ParkCity, Hap Seng Star Mercedes-Benz Autohaus in Setia Alam, Hyatt Centric Hotel in Kota Kinabalu, Sabah, and 8 Conlay in Kuala Lumpur.
Revenue from these works would be recognised till the third quarter of 2023.
Cheah said the group proposes to undertake a bonus issue of new ordinary shares on the basis of one Bonus Share for every two existing GDB Shares held by shareholders on an entitlement date to be determined later.
He said GDB had also proposed to undertake a bonus issue of free five-year warrants on the basis of two warrants for every five existing shares held by shareholders on the same entitlement date to be determined later.
The 1-for-2 bonus issue of shares would result in the issuance of 312.5 million new shares and increase the group’s share base from 625.0 million shares to 937.5 million, he said.

The full exercise of warrants may potentially raise up to RM135 million in proceeds within the five-year tenure for working capital purposes.
“The group’s share capital would remain unchanged at RM62.6 million. Assuming the full exercise of warrants, the bonus issue of warrants would result in the issuance of 250.0 million new shares in GDB and further increase the group’s share base to 1,187.5 million.
“GDB’s share capital would expand to RM197.6 million,” Cheah said.
He elaborated that the bonus issue of ordinary shares is intended to enable shareholders to have greater participation in GDB’s equity by holding an increased number of GDB shares, whilst maintaining their percentage of equity interest without incurring any cost.
“It is also expected to further enhance the trading liquidity of GDB shares on Bursa Malaysia Securities Bhd,” he said.
Additionally, he said, the bonus issue of free warrants would allow existing shareholders of the company to benefit from any potential capital appreciation of the warrants and help to strengthen the company’s base and shareholders’ funds.
The indicative warrant exercise price will be RM0.54 apiece, denoting a discount of approximately 33.96 per cent based on the 5-day volume weighted average market price of GDB Shares up to and including the latest practicable date of April 6, 2021 of RM0.8177 per GDB share.
GDB remains in net cash position with zero borrowings to date.