KINIBIZ Puncak Niaga will be distributing RM534 million cash dividends from the proceeds of its RM1.55 billion sale to the Selangor government, according to an AmResearch analyst report.

“Puncak intends to utilise RM1.02 billion from the proceeds for future investments, which may include expansion into the oil and gas businesses and other ventures,” said AmResearch. The dividends are expected to be disbursed within the next three months.

Yesterday, it was announced that Pengurusan Air Selangor has f ully acquired Puncak Niaga Holdings Bhd for RM1.55 billion, based on the offer by the state’s Kumpulan Darul Ehsan Bhd (KDEB) that Puncak had accepted in principle last June.

Puncak Niaga Holdings owns two of Selangor’s water concessionaires - Puncak Niaga Sdn Bhd (PNSB) and Syarikat Bekalan Air Selangor (Syabas). Puncak Niaga Holdings had a 100 percent equity in PNSB and 70 percent in Syabas.

Pengurusan Air Selangor is a special purpose vehicle created by the Selangor government to acquire all water concession companies in Selangor, Kuala Lumpur, and Putrajaya. Last September, the federal and state governments signed a master agreement on the water restructuring deal.

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