AMIDST global uncertainty stemming from the Covid-19 pandemic that had led to lockdowns and controlled movements worldwide, Serba Dinamik Holdings Bhd is optimistic on its projections, particularly its RM7.71 bil project in Abu Dhabi.
Its group chief operating officer Datuk Mohd Abdul Karim Abdullah said the project would further strengthen the company’s position in the Middle East.
“We have been operating in the region since 2001 and been successful since then,” he said in an email interview today.
Despite the current lockdown, it is business as usual for the international energy services provider which has been categorised under “essential services”.
“We have not seen our operations significantly affected by the current situation,” said Karim.
Meanwhile, he said the Abu Dhabi contract secured on April 15 required Serba Dinamik to develop three areas — an innovation hub which comprises offices, restaurants, exhibition centres, and IT centres; an academic campus; and accommodation comprising apartments and hotels.
The total built-up space spans 455,000 sq m.
On the company’s financial ability to finance the project, Karim said it was sufficient to cover current requirements.
“We always monitor our gearing ratio to ensure that we are in line with market expectations,” he said.
As of now, Serba Dinamik is already sitting on an order book worth RM10 bil from various projects that have been secured.
On the risks of the project, Karim said the company would have to pay a 10% penalty should it miss the completion deadline in four years, as is the standard market practice.
“The company also seeks to limit any risk through constant communication with the relevant authorities to ensure that it is not breaching any laws, rules and regulations in UAE,” he said. — April 21, 2020, Bernama
