Kelington wins US$452 million contract for Indian semiconductor fab
Kelington Group secured a provisional US$452 million (RM1.83 billion) turnkey tool-hookup contract for a wafer fab in Gujarat, India.
Kelington Group Bhd announced that its wholly-owned unit, Kelington Engineering (S) Pte Ltd, has been awarded a provisional US$452 million contract to provide total-facility tool hookup services for a semiconductor wafer fabrication complex in Gujarat, India. The agreement includes comprehensive design, installation, connection, testing and hand-over of manufacturing, laboratory and support equipment for both Module 1 and Module 2, encompassing up to 886 tools.
The works are scheduled to span 30 months, targeting completion in February 2029. The provisional contract value is divided between US$249.9 million for the first module and US$202 million for the second, with the ultimate figure to be determined by the actual tool count and services rendered. CEO Lim Seng Chuan highlighted the deal as the largest in the company’s history and a key step in expanding its role as a main contractor in the semiconductor sector. He also noted India’s growing investment in domestic chip manufacturing, positioning Kelington for further opportunities.
Why it matters
The deal marks a major expansion for a Malaysian engineering firm into India's fast-growing semiconductor market.
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