KUALA LUMPUR, 19 February 2026 – FBG Holdings Berhad (“FBG” or the “Group”), a turnkey contractor and property developer, has secured a RM238.1 million contract for the construction of a 25-storey hotel at The Mall, Mid Valley Southkey, strengthening its order book and expanding its strategic presence in Johor Bahru.
The contract was awarded to FBG’s wholly owned subsidiary, FBG Builder Sdn Bhd, by MVS Southpoint Hotel Sdn Bhd, an indirect wholly owned subsidiary of IGB Berhad, for the main building works of a commercial building block under Phase 3 of the integrated development.
25-Storey, 375-Room Hotel Development
The RM238.1 million project involves the construction and completion of the main building works for a 25-storey hotel block comprising 375 rooms, along with all supporting facilities. The development will be located above the existing Mid Valley Southkey retail complex in Johor Bahru.
Construction is scheduled to commence on 1 March 2026, with targeted completion by 30 June 2028, spanning a total duration of two years and four months.
The award further enhances FBG’s participation in large-scale mixed-use and hospitality developments, reinforcing its technical capabilities in high-rise commercial construction.
Order Book Strengthened to RM1.23 Billion
Following the latest contract win, FBG’s total outstanding order book has increased to RM1.23 billion, providing earnings visibility through 2028 and supporting medium-term revenue stability.
The Johor project also marks a continued strategic expansion into southern Malaysia, where Johor Bahru is experiencing sustained property and infrastructure growth, supported by cross-border economic activity and ongoing regional development initiatives.
Leadership Commentary
FBG Group Executive Chairman Tan Sri Dato’ Sri Chan Kong Choy expressed confidence in the Group’s ability to deliver the project successfully.
“We are honoured to have secured this new contract, which further strengthens our growing presence in Johor and underscores our commitment to expanding strategic operations across the southern region. This award is a testament to our partners’ confidence in our technical expertise, disciplined project management and consistent delivery of high-quality workmanship. As we mobilise resources for this project, we will maintain rigorous standards, timely execution and close collaboration with stakeholders to ensure successful outcomes. Supported by a robust pipeline of projects, this contract not only enhances our local footprint in Johor but will also contribute positively to the Group’s performance and long-term growth.”
Strategic Implications
The contract award aligns with broader momentum in Johor’s commercial property and hospitality sector, where integrated developments are attracting investment interest and expanding tourism and business capacity.
For FBG, the project strengthens:
- Revenue visibility through 2028
- Presence in the southern corridor
- Exposure to hospitality-linked commercial developments
- Long-term order book sustainability
As Malaysia’s construction sector continues to benefit from infrastructure, mixed-use and tourism-related investments, FBG’s expanding order pipeline positions the Group for sustained operational growth.
