Azmin: Khazanah to give explanation on sale to Malakoff

Economic Affairs Minister Datuk Seri Mohamed Azmin Ali speaks to the media after launching the Graduan Aspire Career Fair at the Kuala Lumpur Convention Centre July 13, 2019. — Bernama pic
Economic Affairs Minister Datuk Seri Mohamed Azmin Ali speaks to the media after launching the Graduan Aspire Career Fair at the Kuala Lumpur Convention Centre July 13, 2019. — Bernama pic

KUALA LUMPUR, July 13 — Khazanah Nasional Bhd will give an explanation regarding the disposal of its interest in Desaru Investments (Cayman Island) Ltd (DIL) to Malakoff Corporation Bhd’s indirect subsidiary Malakoff Gulf Ltd, said Khazanah director Datuk Seri Mohamed Azmin Ali.

The sovereign wealth fund had all this while undertaken investments that reaped huge profits and supported the nation’s economic growth, he noted.

“Khazanah needs to look at its core activities, and we need to focus on domestic investment. It has a role to play in increasing domestic investment to support the growth of the economy,” he told reporters after launching the Graduan Aspire Career Fair here today.

On Thursday, Malakoff Gulf inked an agreement to acquire Khazanah’s entire stake in DIL for US$70 million (RM287.9 million). DIL holds a 40 per cent stake in Malaysian Shoaiba Consortium Sdn Bhd, which is involved in water and power projects in Saudi Arabia.

In a statement, Malakoff said the acquisition would provide immediate earnings accretion to the company and increase in cashflows.

On a separate development, Mohamed Azmin, who is also the Economic Affairs Minister, said Maju Holdings Sdn Bhd’s offer to take over highway operator PLUS Malaysia Bhd was still being discussed by the parties concerned.

“The process of negotiation is still ongoing,” he said when asked to comment on Finance Minister Lim Guan Eng’s statement that the proposed takeover was opposed by Khazanah and the Employees Provident Fund, PLUS’ main shareholders.

The Finance Ministry, Lim said, had made a preliminary decision to oppose the deal after considering the views of these shareholders. — Bernama

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