KUALA LUMPUR – The government has decided not to sell the PLUS Malaysia Berhad highway concession. On the contrary, it will remain to be owned by Khazanah Nasional Bhd (Khazanah) and the Employees Provident Fund (EPF).
Prime Minister Tun Dr Mahathir Mohamad said, it was a unanimous decision by the cabinet after the government scrutinised all bids.
“We have studies all the bids made by the private sector and we decided that the best way is not to sell PLUS to anyone. On the contrary, it will remain with Khazanah and EPF,” he said after officiating the Tenaga Nasional Berhad (TNB) Balai Islam An-Nur Complex today.
According to Dr Mahathir, the government can sell the stakes owned by Khazanah if they are able to identify how to reinvest the money.
Maju Holdings is among the companies which made an offer to the government and said it will reduce its toll rate of up to 36 percent if their proposal to takeover PLUS is approved.
In a statement, the company said that it is also committed to invest about RM5.3 billion including installing streetlights along the highway and other upgrades needed.
Maju Holdings also propose to absorb RM2.7 billion of toll compensation which the government needs to pay PLUS if they takeover the largest highway concessionaire in the country.
Besides Maju Holdings, Widad Widad Business Group Sdn Bhd (WBG) also made an offer to the government. They planned to takeover 31 percent of stakes owned by Khazanah Malaysia Bhd (Khazanah) at cash consideration of RM1.5 billion, or 100 percent of the stakes owned by Khazanah and EPF at cash consideration of RM3 billion.
Other than Widad and Maju Holdings, RRJ Capital and businessman Tan Sri Halim Saad through Karongsa Private Capital Sdn Bhd also made a bidding to the government.- MalaysiaGazette