Westports to raise funds for W2 capex next year

CGS-CIMB Research is reiterating its “reduce” call on Westports Holdings, as Q4’20 volumes appeared to have weakened from previous highs, and the W2 capex spending may reduce return on equity in the coming years.

PETALING JAYA: The new Westports 2 (W2) concession negotiation is taking longer than expected because the terms of W2 concession will be different from the existing W1 port, according to a CGS-CIMB Research report.

The research unit said this is mainly because the W1 land is owned by the Port Klang Authority (PKA) and merely leased to the group, but the W2 land would be bought by Westports Holdings Bhd directly.