Company Profile

Az United was set up as part of the Group diversification strategy targeting building and infrastructure projects. Its aim is to benefit the Group by deriving additional revenue stream in a different business sector. The main motivation behind this venture was to reinvest excess reserves into a promising new market that will continue to enhance shareholders’ value.

Infrastructure development holds great promises as countries constantly strive to improve and develop their own infrastructure as they open up their economies to participate in international trade. Infrastructure is a core requirement for countries to compete effectively for foreign investment and improve per capital income. Infrastructure market is market resilient to economy downturn as they are widely used by governments around the world during time of economy crisis to stimulate their own economies.

This diversification strategy has paid off as the new division was able to secure a S$250 million contract to be performed over a period of three (3) years and to successfully commence the execution of the project almost immediately thereafter. This was made possible by the strong resolution of the Group to succeed in this new promising business venture and its ability to extend the expertise within the Group to manage this new venture. Consequently this new division was able to promptly contribute positively to the Group for FY2008. The completion of the first 9% of the contract has boosted the team’s confidence as they gear up to accelerate the delivery of the remaining contract value in year 2009 and 2010. The Group is confident we will succeed in the new venture as we remain focus with our primary objective of achieving profitability in each business sector within the Group.

The Group intends to leverage on our initial success of securing the project and strive for greater heights. With this in mind, Az United has successfully registered itself as a L6 Graded contractor with the Singapore’s Building & Construction Authority (BCA) under the basic building materials category. This is a strategic move as being an approved L6 graded contractor with BCA carries a stamp of approval to bid and tender for projects with unlimited tender limit. With this, we will be able to forge ahead to scout for new opportunities beyond the initial contract of S$250 million. This has not come at a better time as the world economy faces enormous challenges with shrinking global demand and as government across the world implementing policies to increase their own domestic market by releasing more infrastructure projects. We believe we are positioned well to capitalise on this development.