KLCC Property denies being buyer of Bandar Malaysia

Summary

• KLCC Property Holdings Berhad denies it is the buyer of Bandar Malaysia.

• This follows reports that the Petronas subsidiary was in the midst of acquiring Bandar Malaysia.

KLCC Property Holdings Berhad (KLCCP) has denied reports it is the buyer of Bandar Malaysia, in a deal reportedly worth over RM10 billion.

In a brief announcement with Bursa Malaysia Securities, KLCCP said it is not a party to the transaction.

“KLCC Property is not the buyer as reported,” it said.

The Petronas subsidiary was referring to the report in The Edge titled "KLCC Property said to be buying Bandar Malaysia for over RM10 bil", in its print version published today.

The financial daily had reported that KLCCP was in the midst of talks to acquire Bandar Malaysia, with sources estimating the deal to be valued at as much as RM12 billion, and KLCCP expected to pay RM6 billion upfront while the balance is paid “as and when”.

“The deal will see the government monetise its assets and at the same time pay off the creditors of Bandar Malaysia, which are mainly government funds,” one source was reported as saying.

This appears to be linked to a decision by TRX City Sdn Bhd - a Finance Ministry subsidiary - to terminate a deal with Singaporean company Sim Leisure Group Ltd to build a theme park at Bandar Malaysia, in Sungai Besi, Kuala Lumpur.

As a result of the termination, the Malaysian firm must pay the Singaporean company back its RM350,000 security deposit and refund an RM1 million advance payment.

TRX City, which also owns Tun Razak Exchange, owns Bandar Malaysia.

Bandar M'sia theme park nixed, KLCC Property poised to take over

Govt will gazette 20ha as Malay reserve land in Bandar Malaysia

Tun Razak Exchange infrastructure 99pct completed, says CEO