THE revived Bandar Malaysia project lapsed as the Restated and Amended Share Sale Agreement (RASSA) for the acquisition of 60% shares in Bandar Malaysia Sdn Bhd (BMSB) expired on May 6, 2021.
According to a joint statement by Tun Razak Exchange (TRX) and IWH-CREC Sdn Bhd (ICSB), the deal is lapsed since the Conditions Precedent in the agreement have not been fulfilled by the respective parties within the Condition Precedent Period.
“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 statement added.
The RASSA for the sale of 60% shares of BMSB to ICSB, the joint venture between Iskandar Waterfront Holdings Sdn Bhd and China Railway Engineering Corporation (M) Sdn Bhd, was executed on December 17, 2019.
The Pakatan Harapan-led government had agreed to restart the project with new conditions after worries that local contractors and resources would not participate in the multibillion project.
The project was mooted by the Barisan Nasional government, but issues about financing and getting the correct developer had bungled its progress.
BMSB is wholly owned by TRX City Sdn Bhd, a 100% subsidiary of Ministry of Finance, Malaysia. –TMR