Citaglobal executive chairman and president Tan Sri Mohamad Norza Zakaria
PETALING JAYA: Citaglobal Bhd
has entered into a consortium agreement with Reneuco Bhd to set up a special purpose vehicle (SPV) company for activities relating to the East Coast Rail Link (ECRL) project’s independent power producer (IPP).
Pursuant to the consortium agreement, Citaglobal said the parties have mutually agreed to restructure their shareholding in the consortium SPV company for the ECRL IPP project to 60:40 respectively.
“The parties acknowledged and agreed Citaglobal shall lead the negotiations as the controlling shareholder in the consortium SPV company with Malaysia Rail Link Sdn Bhd (MRL) to finalise the terms and conditions for the ECRL IPP project.
“The consortium SPV company aims to finalise the contract award with MRL for the ECRL IPP project soonest possible,” said Citaglobal in a Bursa Malaysia filing.
Citaglobal and Reneuco received and accepted a letter of intent to become the IPP for the ECRL project in December last year.
“The Citaglobal-Reneuco consortium is grateful for the exclusivity in implementing the ECRL IPP project. This exclusivity will allow us to ensure security and stability of power supply along the entire infrastructure even when there is increased demand when more industrial developments take place,” Citaglobal executive chairman and president Tan Sri Mohamad Norza Zakaria said in a separate statement.
