Litrak shares jump 30% as toll abolishment move on hold

KUALA LUMPUR: Lingkaran Trans Kota Holdings Bhd (Litrak) surged 30% in early trade Tuesday on news that toll abolishment will need to be postponed until the country’s economic condition is stable.

The highway concessionaire surged 29.39%, or RM1.34 to RM5.90, its highest since October 2017.

Litrak operates the Damansara-Puchong Highway (LDP) and Sprint Highway.

Works Minister Baru Bian said the Government needed to take into account many factors that may arise due to the abolishment of tolls nationwide.

He said the estimated cost in compensation (to abolish tolls) was more than RM400bil.

“The Government has agreed to postpone the plans to abolish tolls until the country’s economy is stable and allows for it,” he was reported as saying.

Baru Bian said the Pakatan Harapan Government admits the suggestion to abolish toll was not easy to implement, due to the financial pressure the Government faces now.

Stock on the Move , Litrak , LDP , Sprint