THHE share price tumbles after unit barred from bidding for major jobs

PETALING JAYA: TH Heavy Engineering Bhd's (THHE) shares tumbled 11.11% this morning, after announcing that Petroliam Nasional Bhd (Petronas) disallowed its unit THHE Fabricators Sdn Bhd (TFSB) from bidding for main contractor, major fabricator and engineering procurement, construction and commissioning (EPCC) jobs.
At 10.24am, the stock stood at 8 sen with 5.28 million shares changing hands. THHE has a market capitalisation of RM95.29 million.
The group said its unit was informed by Petronas regarding its action in July this year, noting the action was due to non-performance in the Kinabalu Non-Associated Gas (NAG) project.
Due to the non-performance, Petronas has excluded TFSB from several scopes namely main contractor; major fabrication works; PCC works; EPCC works; engineering, procurement, construction, installation and commission (EPCIC) works; and procurement, construction, installation and commissioning (PCIC) works.