LITRAK, SPRINT HOLDINGS ACCEPT GUAN ENG’S TAKEOVER OFFER

Perak 14-6-2018 Traffic along the North-South Expressway is increasing heading northbound nearby Ipoh's Jelapang toll, as commuters head to their respective hometowns before Hari Raya Aidilfitri Pix Marcus Pheong

KUALA LUMPUR: Lingkaran Trans Kota Holdings Bhd (Litrak) and Litrak’s associate company Sistem Penyuraian Trafik KL Barat Holdings Sdn Bhd (Sprint Holdings) have resolved to accept the government’s offer to take over Damansara-Puchong Expressway (LDP) and the Sprint highway.

The boards of the two companies had “unanimously found the offer fair and reasonable”, Litrak said in a filing with Bursa Malaysia today.

The Minister of Finance Inc (MoF Inc) last month offered to buy Litrak’s wholly-owned subsidiary Lingkaran Trans Kota Sdn Bhd (the concessionaire for LDP) for RM2.47 billion and Sprint Holdings for RM1.98 billion, less any outstanding debts of both companies.

Both offers are inter-conditional on each other and are inter-conditional on the offers for Shah Alam Expressway (Kesas) and the Stormwater Management and Road Tunnel (Smart).

Gamuda has also resolved to accept MoF Inc’s offer to take over Kesas and Smart.

In today’s statement to the exchange, Litrak said it and Sprint Holdings expected to begin negotiations with MoF Inc to finalise the terms and conditions of the agreements for the proposed purchase of their toll highways and to seal the definitive agreements with the special-purpose vehicle owned by MoF Inc by Aug 30.

The company said this was subject to the acceptance of the Kesas and Smart offers, the satisfactory due diligence findings by MoF Inc, and the Cabinet’s approval.

It was reported that the government offered to pay the shareholders of Litrak Holdings and Gamuda RM6.2 billion to take over the four tolled highways.

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