Bandar Malaysia sets up fund to finance multi-billion project

Bandar Malaysia sets up fund to finance multi-billion project

KUALA LUMPUR: Bandar Malaysia Sdn Bhd has secured funding with both local and international banks with an asset base of over RM13 trillion to providing funding of the Bandar Malaysia project.

The setting up of the Bandar Malaysia Fund is seen as an effort to alleviate market concerns over the huge funding for the project that is expected to have a gross development value of RM150 billion.

The banks involved are Bank of China, Industrial and Commercial Bank (ICBC), China Construction Bank, HSBC as well as local banking groups such as CIMB, Maybank, RHB and Affin Bank.

Bandar Malaysia Sdn Bhd today signed three landmark agreements including a memorandum of understanding (MOU) with the banks for the Bandar Malaysia Fund.

Bandar Malaysia Sdn Bhd is now 60%-owned by the consortium of Iskandar Waterfront Holdings Sdn Bhd (IWH) and China Railway Engineering Corp (CREC) following the disposal by 1MDB for RM7.41 billion to pare down its debts.

At the signing ceremony today, Bandar Malaysia Sdn Bhd also inked an MOU with Malaysian Resources Corp Bhd-led (MRCB) consortium to jointly develop an integrated transportation terminal on a 60-acre land.