Putrajaya to buy four toll highways in Klang Valley for RM4.5b

Gamuda is expected to take the lion’s share of the purchase value at RM2.36 billion. — Picture by Hari Anggara
Gamuda is expected to take the lion’s share of the purchase value at RM2.36 billion. — Picture by Hari Anggara

KUALA LUMPUR, June 21 — The government is in the process of purchasing four toll highways for RM4.5 billion.

The government has set a purchase offer of RM6.2 billion to buy said highways from Gamuda Bhd and Lingkaran Trans Kota Holdings Bhd (Litrak Holdings), and upon deduction of outstanding indebtedness, the figure stands at RM4.5 billion.

According to financial portal The Edge, the companies received the purchase offer from the Ministry Of Finance Incorporated (MoF Inc), who is also offering to buy all the securities in Litrak from Gamuda.

Gamuda is expected to take the lion’s share of the purchase value at RM2.36 billion.

“Accordingly, the purchase consideration for each Expressway Concession Company per the offer letters is effectively the enterprise value less indebtedness of the respective Expressway Concession Company as at completion,” Gamuda told The Edge.

The company said its 70 per cent-owned unit Kesas Holdings Bhd received a letter of offer from MoF Inc to acquire the entire equity interest of Kesas Sdn Bhd for RM1.377 billion.

Gamuda’s 52 per cent-owned associate Sistem Penyuraian Trafik KL Barat Holdings Sdn Bhd meanwhile received MoF Inc’s letter of offer to acquire Sistem Penyuraian Trafik KL Barat Sdn Bhd (Sprint) for RM1.984 billion.

MoF Inc is also offering RM2.47 billion to buy all the securities in Lingkaran Trans Kota Sdn Bhd (Litrak) from Gamuda’s 44 per cent-owned associate Litrak Holdings.

Lastly, MoF Inc is offering RM369 million to acquire Syarikat Mengurus Air Banjir Dan Terowong Sdn Bhd (SMART) from Gamuda’s 50 per cent-owned joint venture company Projek SMART Holdings Sdn Bhd (SMART Holdings).

All offers are valid till July 12 and subject to a due diligence approval by the Cabinet.

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