KUALA LUMPUR – The Bandar Malaysia project has lapsed, as the restated and amended share sale agreement for the purchase of a 60% stake in Bandar Malaysia Sdn Bhd (BSMB) expired earlier this year on May 6.
The deal has been terminated, since the conditions in the agreement have not been fulfilled by the respective parties within the period, said Tun Razak Exchange (TRX) and IWH-CREC Sdn Bhd (ICSB) in a joint statement today.
“TRX City and ICSB had been working together to find solutions to preserve the partnership to realise the common vision of unlocking Bandar Malaysia’s potential.
“Despite such efforts, to date, the parties have not been able to mutually agree to the terms of the extension of the condition precedent period. Thus, the agreement is now deemed null and void.”
The restated and amended share sale deal for 60% shares of BMSB to ICSB, a joint venture between Iskandar Waterfront Holdings Sdn Bhd and China Railway Engineering Corporation Sdn Bhd, was executed on December 17, 2019.
The project was restarted by the then Pakatan Harapan government with fresh conditions, following concerns that local contractors and resources would not participate in the multibillion-ringgit development.
The previous Barisan Nasional government mooted Bandar Malaysia but problems around financing and hiring the right developer had brought the development to a halt.
Finance Ministry-owned TRX City owns BMSB. – The Vibes, July 14, 2021