ETA Group Bhd, through its wholly-owned subsidiary ETA Design & Build Sdn Bhd, has entered into a series of recurrent related party transactions (RRPT) involving six contracts with an aggregate value of RM130.2 million. The company disclosed the transactions in a filing with Bursa Malaysia on Wednesday.

The agreements consist of three design and build construction contracts worth RM66.69 million signed with ETA Industries Sdn Bhd (ETAI), and three subcontract agreements totaling RM63.51 million with ETA World Sdn Bhd. Both companies are related parties to ETA Group.

The total value of these transactions exceeds the initial estimate provided in ETA Group’s circular to shareholders by 86%. The company explained that the higher actual value resulted from the contracts being procured by ETA Industries as the developer after the issuance of the circular, and subsequently awarded as a single tranche covering three separate projects.

The projects involve the design, engineering, procurement, and construction of industrial developments on freehold land in Kapar, Klang, Selangor. Specifically, the construction works include the development of factories, warehouses, ancillary office accommodations, refuse chambers, substations, and guard houses.

Among the planned structures are 14 single-storey semi-detached factories with office spaces, two Tenaga Nasional Berhad (TNB) compact substations, and an additional four single-storey semi-detached factories coupled with a single-storey warehouse and office facilities.

ETA Group’s announcement did not provide further details on the timeline for project completion or financial impact beyond the contract values. The company’s disclosure aligns with regulatory requirements to inform shareholders and the market of significant related party transactions that may affect the group's operations.