PESTECH's Unit to Dispose of Transmission System Project in Cambodia for US$118mil
KUALA LUMPUR: Pestech International Bhd’s 60 per cent indirect-owned subsidiary Diamond Power Ltd (DPL) has proposed to dispose of its 230kV Kampong Cham-Kratie Transmission System project to Cambodian Transmission II Co Ltd (CTL II) for US$118 million (US$1=RM4.727).
For this, DPL and CTL II, a wholly owned subsidiary of Leader Transmission Ltd, has entered into a business transfer agreement (BTA).
"DPL wishes to novate, assign and release itself from the business activities in relation to the project, and CTL II has expressed its willingness to assume the business activities in relation to the project,” said Pestech in a filing with Bursa Malaysia today.
Among conditions under the BTA were the exercise must be completed on or before the completion date, which is five days following the Stop Date of Dec 31, 2022 and CTL II is required to provide a written confirmation of its achievement of financial closing to finance and undertake the disposal.