THE government has deferred its decision on the takeover of highway concessionaire PLUS Malaysia Bhd to next week, according to The Star.

The portal, quoting a Works Ministry source, said the cabinet at its weekly meeting yesterday was to have made its decision on which of the four bids would be awarded the largest highway concessionaire in the country.

The cabinet instead ordered the three main ministries involved in drawing up the decision – Works, Economic Affairs and Finance – to iron out a few pertinent details.

Among them is that the government must not be burdened with further debt, the toll rates to be reduced by at least 18% and the concession period cannot be extended more than 20 years.

With the government already freezing toll hikes last year, it is bleeding money as it has to compensate toll operators.

There are four offers to take over PLUS – businessmen Halim Saad and Wong Gian Kui, Widad Business Group Sdn Bhd, RRJ Capital and Maju Holdings Sdn Bhd.

Halim and Wong offered RM5.2 billion to buy the entire equity interest of PLUS via Karongsa Private Capital Sdn Bhd.

Their offer includes a 25% discount on toll rates and does not seek a concession extension.

Widad Business Group Sdn Bhd offered RM3.5 billion cash to buy up PLUS, a minimum 25% toll cut and an extension of 20 years while the Hong Kong-based Malaysian private equity firm, RRJ Capital, tabled a bid to acquire PLUS outright for RM3.5 billion.

RRJ also offered toll discounts averaging 20% and is looking for a 20-year extension period.

Maju Holdings Sdn Bhd is the only bidder to put in an enterprise value offer for PLUS at RM34.9 billion. – January 9, 2020.