OSK Maintains buy call for MMC, Gamuda

OSK Research Sdn Bhd has maintained a "buy" call on MMC Corp Bhd and Gamuda Bhd after the company's joint venture - MMC-Gamuda - won the tunneling job for the Klang Valley My Rapid Transit (KV MRT) Sungai Buloh-Kajang line, with its bid of RM8.2 billion. In a statement Tuesday, the research firm said the clinching of this contract is within its expectation and has bumped up the some-of-part fair value on MMC from RM3.70 to RM3.71, as well as for Gamuda from RM4.57 to RM4.58. "The tunneling works are expected to start as early as the second quarter of this year, while the target completion date is June 2017," it added "With that, we expect the remaining six of the eight packages on the elevated portion to be dished out progressively over the next two months. "This implies that the implementation of the much awaited KV MRT project is on schedule," it said.