Gamuda accepts offer by govt to buy over 4 highways

The Lebuhraya Damansara-Puchong is one of the four highways being bought over by the government.

KUALA LUMPUR: Gamuda Bhd has accepted the proposed offer by the Minister of Finance (Incorporated) (MOF Inc) to purchase all of the group’s equity stake in four highway companies, Bernama reported.

In a filing with Bursa Malaysia today, it said the companies were Kesas Sdn Bhd (Kesas), Sistem Penyuraian Trafik KL Barat Sdn Bhd (Sprint), Lingkaran Trans Kota Sdn Bhd (Litrak) and Syarikat Mengurus Air Banjir dan Terowong Sdn Bhd (SMART).

Gamuda said the board had today deliberated on the proposed offers by Minister of Finance Inc and has resolved to vote in favour of accepting them.

“The board of Gamuda will make the appropriate announcements in due course after going through the relevant due process with its respective associated companies and joint venture company,” it said.

Finance Minister Lim Guan Eng had recently announced that the government had made a RM6.2 billion bid to take over four concessions of toll highways.

He said this could save taxpayers RM5.3 billion in compensation to the concessionaires to stop them from increasing their toll rates.

Gamuda has a significant stake in all four highways.

Gamuda owns a 44% stake in Litrak, 52% in Sprint, 70% in Kesas and 50% in SMART. They run the Kesas, LDP, Sprint and Smart highways.

Based on Gamuda’s effective interest in these toll highways, the group expects its share to be RM2.36 billion, which is equivalent to 96 sen per share, from the divestments, theedgemarkets reported.