Definitive agreement execution for disposal of 4 highways extended to Aug 30, says Gamuda

KUALA LUMPUR (July 12): Gamuda Bhd on Tuesday (July 12) said that Amanat Lebuhraya Rakyat Bhd (ALR) and the four expressway concession companies have agreed to extend the Definitive Agreement Execution Date from July 31, 2022 to Aug 30, 2022.

"Notwithstanding the deadline extension for the execution, the Board aspires to execute the Definitive Agreements on or before Aug 5, 2022," Gamuda said in a filing to Bursa Malaysia.

On April 18, Gamuda said that each of the concession holding companies — Kesas Holdings Bhd, Sistem Penyuraian Trafik KL Barat Holdings Sdn Bhd (SPRINT Holdings), Lingkaran Trans Kota Holdings Bhd (LITRAK Holdings) and Projek Smart Holdings Sdn Bhd (SMART Holdings) — has separately accepted its respective conditional letter of offer for the proposed disposal of all of the securities to ALR.

ALR has offered to acquire a 70% stake in KESAS Sdn Bhd; 51.6% stake in SPRINT; 43.2% stake in LITRAK; and 50% stake in SMART. Gamuda's share of anticipated equity value for the four companies amounts to RM2.33 billion.

Last month, Gamuda said ALR and each expressway concession companies had finalised the terms and conditions of the draft share sale and purchase agreement.

It said the decision on the proposed disposals of LITRAK and SPRINT would depend entirely on the votes of the non-interested shareholders present at the extraordinary general meeting (EGM) of LITRAK Holdings, its 42.8% associate company, other than Gamuda.

LITRAK Holdings owns a 100% equity interest in LITRAK and a 50% stake in SPRINT.