KUALA LUMPUR, June 22 — Works Minister Baru Bian said all proposals to buy any highway concessionaires will only be done with the approval of the Cabinet.

They will take into consideration the Works Ministries research papers and recommendations regarding the direction toll’s in the country should take as a whole.

The report is expected to be debated when Parliament resumes in July.

“Any decision to purchase highways will only be decided by the Cabinet after looking at our research and recommendations,” Baru said in a statement today.

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“As we all know, the Works Ministry had appointed an independent auditor in January 2019 to study and research the direction in which the toll industry in this country is taking.

“They will then have to come up with options that are feasible and accepted by the government, concessions companies and the public while also minimizing the government’s financial burden without affecting its day-to-day operations.”

Reports emerged yesterday that Putrajaya was in the process of purchasing four toll highways for RM4.5 billion.

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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.

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).

Finance Minister Lim Guan Eng has lauded the move.

He said if the acquisition process of these highways is successful, the Government will acquire the highway concessionaires on 31 December 2019 through a special purpose vehicle (SPV) wholly-owned by the MoF Inc.