MRCB eyes Bandar Malaysia transportation hub project

Crowds take a closer look of Bandar Malaysia's architectural building model scale during the mou signing ceremony at Shangri La hotel. AZMAN GHANI / The Star

KUALA LUMPUR: Malaysian Resources Corp Bhd (MRCB) has entered into a non-binding memorandum of understanding with Wondrous Vista Development Sdn Bhd and IWH CREC Sdn Bhd to collaborate on developing an integrated transportation terminal at Bandar Malaysia.

In a filing with Bursa Malaysia, MRCB said it intended to form a strategic alliance with Wondrous Vista and IWH CREC for the purpose of acquiring, constructing, developing and operating the transportation hub.

IWH CREC, a 60:40 joint venture between Iskandar Waterfront Holdings Sdn Bhd and China Railway Engineering Corp (CREC), will have 60% equity interest in the master developer of Bandar Malaysia while Minister of Finance Inc will hold the remaining 40%.

A signing ceremony for the shareholders agreement and other memoranda of understanding for Bandar Malaysia Sdn Bhd was held on Thursday afternoon in Kuala Lumpur. It was previously reported that 1Malaysia Development Bhd's sale of the 60% stake in Bandar Malaysia Sdn Bhd to the IWH-CREC consortium for RM7.41bil would be completed this month,

The 486-acre Bandar Malaysia, located on the former Sungai Besi air force base, will house the Kuala Lumpur-Singapore high speed rail terminus and become a central transport hub with connections to the mass rapid transit lines, KTM Komuter, Express Rail Link and 12 other highways.

MRCB noted that Bandar Malaysia Sdn Bhd, vide its wholly owned subsidiary, would be the registered owner of 486 acres at Bandar Malaysia, of which 55 to 60 acres had been earmarked for the integrated transportation terminal.

The MoU will remain valid for a period of six months or may be terminated at any time by mutual consent.

* See also Eight major banks backing up Bandar Malaysia Fund and Najib announces incentives for master developer of Bandar Malaysia