KJTS Group Berhad (“KJTS” or the “Group”), a building support services provider in Malaysia, Thailand and Singapore, is pleased to announce that the Group’s subsidiary, KJTN Engineering Co., Ltd. (“KJTN Engineering”) has signed an Agreement with Central World Hotel Company Limited (“CENTARA”) for the works of retrofit, the provision of management, supervision, personnel, materials, equipment and supplies necessary to operate and maintain the chiller plant (“O&M services”) and the chilled water supply at Centara Grand Hotel at Central World in Bangkok, Thailand for a 15-years period.
CENTARA, a Thailand’s hospitality business entity and has been operational for over 19 years, is a part of the esteemed Central Group, one of Thailand’s largest private commercial conglomerates with more than 50 subsidiaries with diverse investments in various corporations domestically and internationally. Central Group’s business sectors include retail, property development, brand management, hospitality, food and beverage sectors, and digital lifestyle. This partnership underscores KJTN Engineering’s expertise and commitment to delivering innovative and eco-friendly solutions in the building support services industry.
Under the terms of the Agreement, KJTN Engineering shall finance the retrofit works and during the O&M services period charge a fixed fee of THB698,147 monthly which is equivalent to approximately RM93,155 and a variable fee monthly based on the chilled water supplied. The total fixed fee for 15 years will be THB125,666,460 which is equivalent to approximately RM16,767,927.
The retrofit works are expected to commence on 1st February 2024 and to be completed on 30th November 2024. The O&M services and chilled water supply will commence on 1st December 2024 and be completed on 30th November 2039. The ownership interest in the chiller plant will be transferred to the CENTARA at the end of the Agreement.
Director of KJTN Engineering Co., Ltd., Mr. Kitti Chungsawanant said, “This agreement with CENTARA symbolises our commitment to expand our business in Thailand as one of KJTS group’s core regional markets. It also marks the start of an important business relationship for the KJTS group with the Central Group and we are hopeful that KJTS group will be able to provide more building support services to the Central Group in the future.”
This venture is poised to bolster KJTS’s position in the market, reflecting the strategic focus on expanding the Group’s services and influence across Malaysia, Thailand and Singapore.
Topic: Press release summary