An aerial view of Gaon Cable's Gunpo plant. [Gaon Cable]
An aerial view of Gaon Cable's Gunpo plant. [Gaon Cable]

Gaon Cable announced Thursday it will supply distribution cables for a Singapore Mass Rapid Transit power grid project worth 60 billion won ($42 million). The contract is the company's first win since registering as a vendor with Singapore's Land Transport Authority last year.

Singapore plans to expand its MRT network from roughly 240 kilometers to more than 360 kilometers by 2030 through the project. Gaon Cable said the contract will serve as a springboard for its push into rail and power distribution infrastructure markets across Southeast Asia, including public distribution projects in key countries in the region.

The company has been broadening its overseas footprint, recently signing a supply agreement with a major American technology company's power plant and expanding orders for AI data center products through its subsidiary LSCUS in collaboration with LS Cable & System. Overseas power distribution infrastructure markets offer higher profitability than the domestic market amid the current global power supply shortage, the company said.

"We will continue to grow the share of overseas sales, centering on strategic markets such as the United States and Singapore, to improve both profitability and growth," said Jung Hyun, chief executive of Gaon Cable.


klee@heraldcorp.com