KOTA KINABALU: Subsidiaries under the Sedco Group that fail to achieve profitability within a year will undergo management buyouts or be closed, said its chairman Datuk Masiung Banah (
pic).
“If we continue to defend loss-making companies that burden the parent agency, it is like scoring an own goal,” he said, stressing that performance targets must be met and improved where achieved.
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Masiung, who is also the Kuamut assemblyman, said underperforming subsidiaries must submit action plans to address weaknesses and improve current financial positions, adding that chief executive officers are being evaluated for operational effectiveness.
He said although there have been no serious reports of corporate misconduct so far, the operations of subsidiaries will be monitored quarterly and he will personally conduct site visits from time to time.
Masiung said the Sedco Group currently has about 23 subsidiaries across various industries, with Sedco Mining Sdn Bhd, the Kudat Blue Economy Park project and Borneo Cement (Sabah) Sdn Bhd identified as key focuses this year, while Deputy Group General Manager Azrul Ahmad was also present at the 2026 chairman’s address.
