Greatech to centralise Kedah manufacturing operations in Penang
03 Mar 2021
KUALA LUMPUR (March 3): Greatech Technology Bhd is erecting a second factory building at Batu Kawan Industrial Park to relocate its Kedah manufacturing and assembly operations to a single location at Batu Kawan Industrial Park (BK II) in Pulau Pinang.
In a statement today, the factory automation solutions provider said its wholly-owned subsidiary Greatech Integration (M) Sdn Bhd has awarded the letter of award for the construction of the main building works today.
The building, with an approximate built-up area of 230,000 sq ft, will comprise a double-storey detached office block and an annexed single storey factory building, to cater for designing, assembly and administrative functions, it said.
“GIM’s manufacturing and assembly operations are currently located on rented premises in Lunas and Kulim,” the group said.
“The group intends to relocate all the operations in Lunas and Kulim, Kedah to Batu Kawan, Penang, bringing closer together the current two location sites to a single location at Batu Kawan,” it added.
“Besides supporting the group’s increasing business needs, the relocation would enable the group to reduce its rental commitment and dependency on rented premises, as well as reduce the time wastage from travelling across GIM’s facilities in various locations,” the statement said.
The new premises, which is slated for completion in 3Q21, coupled with its first Batu Kawan factory which was completed in Nov 2020, will bring its floor space capacity to 215,000 sq ft, enabling the group to capitalise on the growth of targeted industries.
Shares of Greatech closed 23 sen or 3.83% lower to a one-month low of RM5.77 today, valuing the group at RM7.22 billion. Year-to-date, the counter has climbed 26.81% or RM1.22 apiece.
Source: The Edge Markets