KNM active, rises 2.27% following latest contract win worth RM21m

KUALA LUMPUR (July 30): Shares in KNM Group Bhd rose as much as 2.27% in active trade this morning following news on its latest contract win worth RM20.91 million.

At 10.13am, shares in KNM rose half a sen to 22.5 sen, giving it a market capitalisation of RM611.61 million — making it the 12th most active stock across Bursa Malaysia.

It saw 40.7 million shares traded, exceeding its 200-day average volume 68.43 million.

Yesterday, KNM in a bourse filing said its unit had secured the contract from an Australian oil and gas firm for the supply of air coolers bundles for gas compression stations in Australia.

KNM said its indirect unit FBM Hudson Italiana SpA had inked a restated goods and services agreement with Origin Energy Upstream Operator Pty Ltd for the job, adding that the tenure of the contract is for a period of 34 weeks.

It noted that the deal will contribute positively to its earnings for the financial years ending Dec 31, 2020, and Dec 31, 2021.

FBM is principally involved in the design, engineering, procurement and manufacturing of process equipment, including pressure vessels, reactors, columns and towers, drums, heat exchangers, air finned coolers.

Besides, it is also involved in project management services in relation to process equipment, plant and general facilities for the oil, gas, petrochemicals, minerals processing and renewable energy industries worldwide.