What Salcon does

Salcon Berhad is a Malaysia-listed (KLSE: SALCON) diversified engineering conglomerate founded in 1974 and headquartered in Subang Jaya, Selangor. Its core business is water and wastewater engineering, encompassing design, construction, commissioning, operation and maintenance of treatment plants, non-revenue water management, and long-term concessions for government utilities in Malaysia and Sri Lanka. Major recent awards include a RM209.95 million Package 3 contract for the Langat 2 water treatment plant from PAAB, a RM167 million Jernih Water Treatment Plant contract, RM99.8 million of wastewater contracts, a RM70.52 million pipe replacement contract in Kota Bharu, and an RM80.4 million water infrastructure project in Pulau Pinang.

The company operates through multiple subsidiaries and joint ventures covering renewable energy (Satria Megajuta, Salcon SER, Inergist executing 25-year solar PPAs with HeveaPac and HeveaBoard), IoT-enabled smart water management (Digital Momentum / Salcon WP JV with Fujian Wide Plus using Huawei 5G NB-IoT meters), healthcare (Bloom Healthcare Group operating over 100 clinics across six Malaysian states under brands including MediPulih, Tria Dental, Cantiq and Antara Spa), glove manufacturing (JR Engineering targeting 3.0 billion gloves per annum), transportation (Eco-Coach & Tours), technology services (Volksbahn Technologies), and property development.

Salcon generates revenue primarily through project-based contracts awarded via competitive tendering for government clients, supplemented by recurring income from 25-year solar PPAs, healthcare clinic operations, and glove manufacturing. Distribution is enterprise/B2G direct sales supported by an active regional business development effort across Malaysia, Sri Lanka, Thailand, Vietnam and other Asian markets. The order book of RM510M to RM1.44B alongside RM1.8B of submitted tenders signals a healthy near-term project pipeline, though revenue concentration in government infrastructure creates exposure to public sector capex cycles.

Name

Salcon

Legal name

Salcon Berhad

Website

https://salcon.com.my

Company type

Public

Founded year

1974

Operating status

Operating

Headcount range

101–250 employees

Short description

Salcon Berhad is a Malaysia-listed, 50-year-old water and wastewater engineering conglomerate that designs, builds and operates treatment plants for government utilities, with diversified operations across renewable energy, healthcare clinics, glove manufacturing, transportation and property development across Asia.

Ownership category

akta.pro rank

Product category

Water and Wastewater Engineering

NAICS

Water, Sewage and Other Systems (2213), Water Supply and Irrigation Systems (22131), Utilities (221)

SIC

Water Supply (4941), Water, Sewer, Pipeline, Comm & Power Line Construction (1623), Totalizing Fluid Meters & Counting Devices (3824)

akta.pro primary industry

Design & Engineering for Renewal/Expansion (Pipelines, Pump Stations, Treatment Plants) (EUANALAD)

akta.pro secondary industries

Capital Delivery, Asset Management & Renewal Programs (Pipes, Plants, Pumps) (EUANAAAK), Maintenance & Reliability (RCM, Work Management, Spares) (EUANALAH), Rehabilitation & Renewal (CIPP, Lining, Coatings, Structural Repairs) (EUANALAF), Advanced Treatment & Purification Utilities (MF/UF, RO, AOP, UV) (EUANAGAD), Monitoring & Control (Dosing Systems, Remote Monitoring, Sensors) (BPABAJAK)

Keywords

• Water treatment engineering
• Wastewater management
• Solar power solutions
• Glove manufacturing
• Renewable energy

Headquarters

HQ city

Puchong

HQ country

Malaysia

HQ region

Asia

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Supply Chain, Technology or R&D, Infrastructure, Marketing or Sales

Revenue model

1. Water & Wastewater Engineering: Design, construction, commissioning, operation and maintenance of water and wastewater treatment plants. Revenue recognized from project contracts, concessions, and O&M services.
2. Renewable Energy: Solar power generation through rooftop PV systems and solar farms. Revenue generated from power purchase agreements (SPPA) over 25-year tenures, generating recurring income.
3. Glove Manufacturing: Manufacturing of medical and examination gloves through subsidiary JR Engineering. Production capacity expansion to 3.0 billion gloves per annum through new production lines.
4. Transportation Services: Transportation solutions through Eco-Coach & Tours subsidiary providing commuter services to corporate clients.
5. Property Development: Property development activities as part of diversification strategy embarked in 2013.
6. Healthcare Services: Operating healthcare clinics through subsidiary Bloom Healthcare Group, a Bursa Malaysia-listed subsidiary operating over 100 clinics across six Malaysian states.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels4 records

Core offering

Salcon Berhad is a publicly listed Malaysian conglomerate whose core business is water and wastewater engineering, providing end-to-end services from investment, design and construction to commissioning, operation and maintenance of water and wastewater treatment plants and ancillary facilities. The company has diversified into renewable energy (solar PV under 25-year PPAs), glove manufacturing, healthcare clinics, transportation services, property development, and IoT-based smart water management technology.

Product overview

Salcon Berhad is a diversified conglomerate with water and wastewater engineering as its core business, operating through multiple divisions: Water & Wastewater Engineering (design, construction, operation and maintenance of treatment plants), Technology Services (via Volksbahn Technologies and smart water IoT solutions via JV with Fujian Wide Plus), Renewable Energy (solar PV and hydro via Salcon SER/Inergist), Transportation (Eco-Coach & Tours), Glove Manufacturing (JR Engineering), Healthcare (Bloom Healthcare Group), and Property Development. The company also operates the Salcon Smart Water Programme (SSWP) as a CSR initiative and provides crisis management software through its Rayvn AS acquisition.

Differentiator

Problem solved

Functional benefit

Brands

• Salcon Smart Water Programme (SSWP): An award-winning educational outreach programme designed to raise awareness on water conservation through hands-on river water monitoring activities for students.
• Salcon Train-the-Trainers Programme (TOT)
• Salcon Water Genius Challenge (WGC)
• Salcon Cares
• Bloom Healthcare Group
• Salcon WP Sdn Bhd (formerly Digital Momentum Sdn Bhd)

Products and services

• Water & Wastewater Engineering

Quantifiable outcome

• Water authorities in Asia face over 40% non-revenue water losses, which smart meters help address
• +1 more outcomes

Named customers6 records

Segments5 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability2 records

Feature2 records

Partnerships

15 partnerships are on record, tiered core and minor.

• HeveaBoard BerhadcoreStrategic or Co-development Partner · 22 November 2023Solar PPA for 862.5 kWp rooftop solar PV on particleboard manufacturing facilities in Gemas, Negeri Sembilan. Built-own-operate model for 25 years, expected to generate 26.25 million kWh clean energy over tenure.
• KAB Smart Solar Energy Sdn BhdcoreStrategic or Co-development Partner · 11 August 2023Consortium partnership for solar power development. Selected as solar power producer under Corporate Green Power Programme (CGPP) with 7MW solar PV plant at Sungai Siput, Kuala Kangsar Perak.
• HeveaPac Sdn BhdcoreStrategic or Co-development Partner · 7 December 2020Solar Power Purchase Agreement for 25-year duration. Salcon subsidiary Satria Megajuta Sdn Bhd designs and installs 1.48 MW rooftop solar PV systems on HeveaPac manufacturing premises. Expected to produce 1.8 million kWh green energy per year.
• JR Engineering and Medical TechnologiescoreStrategic or Co-development Partner · 12 November 2020Acquisition of 51% stake in glove manufacturing company for RM28.56 million. Includes profit guarantee of RM10 million per annum for 2021-2023. Target to expand production from 4 to 16 lines, reaching 3.0 billion gloves per annum capacity.
• Wide Plus Smart City Sdn BhdcoreStrategic or Co-development Partner · 14 July 2020Joint venture with TOSC of Hong Kong via Wide Plus Smart City Sdn Bhd (60:40 ownership with Salcon holding majority) to market and deploy smart water systems with end-to-end monitoring platform solutions in Malaysia. JVCo renamed Salcon WP Sdn Bhd, focusing on IoT solutions for remote meter reading, water quality monitoring, and leakage detection.
• Wisdom Sports Group Ltd.minorStrategic or Co-development Partner · 28 February 2017Joint venture to organize Belt and Road Marathon Series in Malaysia. Salcon subsidiary Circlic holds 45% while Wisdom Sports Group holds 55%. Marathon event targeting 20,000 runners, expected to generate RM40 million in business opportunities.
• Rayvn ASminorStrategic or Co-development Partner · 16 February 2017Acquisition of 50.5% stake in Norwegian crisis management software company via subsidiary Tanjung Jutaria Sdn Bhd. Rayvn develops Emergency Log Unit cloud-based crisis management software. Total consideration NOK 5.0 million.
• Water Watch Penang (WWP)coreStrategic or Co-development PartnerLong-term collaboration for Salcon Smart Water Programme (SSWP), an award-winning river education initiative. Conducted since 2010, the program has benefited over 3,200 students. WWP provides facilitators and expertise for water monitoring activities.
• Universiti Sains MalaysiaminorStrategic or Co-development PartnerCollaboration in Salcon Smart Water Programme and Salcon Water Genius Challenge campaign. University provides academic support and facilitates student participation.
• Malaysian Nature Society (MNS)minorStrategic or Co-development PartnerCollaboration for mangrove planting activities and environmental conservation initiatives. MNS provides expertise and guidance for tree planting at Kuala Selangor Nature Park and other environmental projects.
• Jabatan Kemajuan Orang Asli (JAKOA)minorStrategic or Co-development PartnerPartnership for Salcon Cares CSR program bringing solar power to Orang Asli communities. JAKOA facilitates access and coordination with indigenous communities.
• Saora IndustriesminorStrategic or Co-development PartnerCollaboration for solar power installations for Orang Asli communities. Saora provides technical expertise and equipment for solar lighting systems.
• The One Smart City Development Limited (TOSC)coreTechnology or IntegrationTechnology license agreement holder via Wide Plus Smart City for smart water management technology. Related to China High Precision Automation Group with rights to water management patents.
• Pusat Darah NegaraminorStrategic or Co-development PartnerAnnual blood donation drive collaboration. Salcon organizes blood donation campaigns with National Blood Centre to address blood supply shortage.
• Envitech Sdn BhdcoreOthers60% owned subsidiary specializing in wastewater treatment plant design and construction. Has over 30 years of track record in wastewater sector.

Scale indicators8 records

Recent moves12 records

Expansion highlights6 records

Direct peers

• Gamuda Berhad: Malaysian infrastructure and engineering conglomerate with significant water infrastructure and tunneling exposure. Comparable to Salcon as a Bursa Malaysia-listed EPC player with adjacent water/wastewater capabilities competing for similar government contracts.
• Envitech Sdn Bhd: A 60% Salcon-owned subsidiary specializing in wastewater treatment plant design and construction with 30+ years of track record. Treated as a peer here as it represents Salcon's direct wastewater EPC capability competing for Malaysian and regional tenders.
• IJM Corporation Berhad: Large Malaysian construction and property developer with industrial and infrastructure projects. Competes with Salcon in Malaysian water infrastructure tenders and shares the conglomerate structure with diversified construction and property operations.
• Sunway Construction Group Berhad: Malaysian EPC contractor with building, infrastructure, and energy projects. Overlaps with Salcon in large-scale infrastructure delivery and is a fellow Bursa Malaysia-listed engineering name.

Broad incumbents

• Veolia Water Technologies: Global environmental services and water technology firm with EPC and O&M operations in Southeast Asia. Competes with Salcon for larger municipal water and wastewater contracts across the region.
• Xylem Inc. Global water technology company with smart metering, networked solutions, and water/wastewater treatment equipment. Competes with Salcon's smart water IoT platform globally and represents the kind of multinational incumbent Salcon must scale against.
• Suez Water Technologies & Solutions: Global water and waste management player with smart water, treatment, and digital solutions. Directly comparable to Salcon's smart water and wastewater engineering capabilities at much larger scale.

Regional players

• Hyflux Ltd. Singapore-based water treatment and membrane technology company with EPC and O&M operations across Southeast Asia. Direct regional peer to Salcon in municipal water/wastewater projects, particularly with recycled water and advanced treatment focus.

Others

• Air Selangor: Malaysia's largest water utility operator and a key Salcon customer/ecosystem partner. Relevant as the dominant off-taker for Malaysian water infrastructure projects Salcon competes to deliver.
• Pengurusan Aset Air Berhad (PAAB): Malaysian federal water asset holding company and Salcon's largest customer (Langat 2 RM210M contract). Ecosystem relationship rather than direct competitor, but shapes the addressable tender pipeline.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Subsidiaries24 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Salcon