KUALA LUMPUR – Iskandar Waterfront City Bhd (IWC) is digging in its heels on the matter of the termination of the Bandar Malaysia development agreement by TRX City Sdn Bhd (TRX).
Last week, IWH CREC Sdn Bhd (ICSB) received a notice of termination issued by TRX stating that the share sale agreement entered into between ICSB and TRX on 31 December 2015 had lapsed.
In a filing with Bursa Malaysia today, ICSB said TRX’s unilateral declaration that the SSA has lapsed was unacceptable and that ICSB “reserves all its rights in this matter”.
“After a detailed and thorough review of ICSB’s and TRX’s respective obligations under the SSA including the agreed process/milestones with regard to fulfilment thereof, and relevant records, ICSB is of the view that TRX’s allegation that the SSA has lapsed, runs contrary to the conduct of the parties in progressing the SSA towards its completion in accordance with the spirit of the SSA thereof,” the company said in the filing.
IWC said that prior to ICSB’s receipt of the TRX letter, TRX was aware that ICSB had complied with the conditions precedent and accordingly the SSA has become unconditional.
“ICSB has officially requested TRX for Completion of the SSA. To-date, ICSB has fulfilled all the required payment obligations under the SSA on its part towards TRX. ICSB has sufficient financial resources and capabilities to ensure the smooth and successful execution and implementation of the development of Bandar Malaysia,” it said.
ICSB is the consortium of Iskandar Waterfront Holdings Sdn Bhd and China Railway Engineering Corp (M) Sdn Bhd (CREC).