Bina Puri Now Confirms It Has YET to Secure 1 Billion Contract But Expects To ... Soon!

Posted yesterday and today: The Edge Weekly Says Bina Puri Won 1 Billion Contract and No News On Bina Puri's One Billion Contract!!

My issue was the statement...

• The Edge weekly reported the consortium is said to have secured the third package of Malaysia Airports Holdings Bhd's new LCCT worth close to RM1 billion.

Yeah, I was asking why on how come the Edge Weekly and Edge Financial Daily could be making those statements when Bina Puri made none. (ps the stock went up over 3% yesterday!!)

And best of all... it was a ONE BILLON worth of contract!

Well on the Edge Financial Daily just....

Bina Puri expects letter of award for 3rd package of LCCT soon

• KUALA LUMPUR: BINA PURI HOLDINGS BHD expects to receive the letter of award soon for the third package of Malaysia Airports Holdings Bhd.'s new low-cost carrier terminal (LCCT).
  
  The company said on Tuesday, July 6 that as at the date of the announcement, it had yet to receive the letter for the package, which The Edge weekly reported, could be worth close to RM1 billion.
  
  "However, we are liaising with MAHB. We expect to receive the letter of award soon. We will make the necessary announcement if and when we receive the letter of award," it said.

Now I hope of understanding of simple English is not so terribly flawed but 'expects to receive the letter of award' and 'said to have secured' is totally different.

Sometimes... expects to receive... just might not happen.

Have we forgot the recent Ascot saga?

And since Bina Puri has NOT actually gotten the FINAL letter of award YET, how could Bina Puri be making statements like this to the press?

Yeah.. do we want another Ascot saga????

How?

And oh yeah... Bina Puri finally got queried!

• We refer to the above news article appearing in the The Edge Malaysia, page 24, on Monday, 5 July 2010, a copy of which is enclosed for your reference.
  
  In particular, we would like to draw your attention to the underlined sentence, which are reproduced as follows:-
  
  "The Bina Puri Holdings Bhd led consortium is said to have won the third packge of Malaysia Airports Holdings Bhd's new low-cost carrier terminal (LCCT) worth close to RM1 billion ......"
  
  In accordance with the Bursa Securities' Corporate Disclosure Policy, we would be grateful if you could furnish Bursa Securities with an announcement for public release confirming or denying the above article and in particular the underlined sentence after due and diligent enquiry with all the directors, major shareholders and all such persons reasonably familiar with the matter about which the disclosure is to be made in this respect. In the event you deny the above sentence or any other part of the above reported article, you are required to set forth facts sufficient to clarify any misleading aspects of the same. In the event you confirm the above sentence or any other part of the above reported article, you are required to set forth facts sufficient to support the same.

Here's Bina Puri reply...

• The Board would like to clarify that as at to date we have not received the letter of award for the third package of Malaysia Airports Holdings Bhd.’s new low-cost carrier terminal (LCCT) worth close to RM1 billion.
  
  However, we are liaising with Malaysia Airports Holdings Bhd. We expect to receive the letter of award soon. We will make the necessary announcement if and when we receive the letter of award.

ps: I wonder how the other bidders of the LCCT contract would feel about all this? How come Bina Puri knows it expect to receive the letter of award soon? How come? Yeah, the inquiry mind wants to know if the awarding of the contract is deemed fair.

ps/ps: Would I invest in Bina Puri? Hmm.. take a look at Bina Puri historical earnings track record. What kind of margins does it have? Does Bina Puri look like a company that is able to operate on decent profit margins? Or does it run on wafer thin profit margins?