PUTRAJAYA, Dec 17 ― Prime Minister Tun Dr Mahathir Mohamad today witnessed the signing ceremony between TRX City Sdn Bhd (TRXC) and IWH CREC Sdn Bhd (IWH-CREC) to develop Bandar Malaysia

TRXC is a wholly-owned subsidiary of Minister of Finance (Inc), while IWH-CREC is a consortium comprising Iskandar Waterfront Holdings Sdn Bhd (IWH) and China Railway Engineering Corp (M) Sdn Bhd (CRECM).

IWH-CREC is acquiring a 60 per cent equity stake in Bandar Malaysia Sdn Bhd (BMSB), the project's master developer, from its parent company TRXC.

In April 2019, the government of Malaysia approved the reinstatement of the project and welcomed IWH-CREC's commitment into the project via the signing of the Reinstatement of Bandar Malaysia of Bandar Malaysia Framework Agreement.

Bandar Malaysia is the largest piece of development land in the heart of Kuala Lumpur. It is located at the site of the Royal Malaysian Air Force base on Jalan Sungai Besi, the companies said in a joint statement today .

The statement said the payment by IWH-CREC for the 60 per cent stake was anchored on Bandar Malaysia land valued at RM12.35 billion.

It said In the revived deal, the staggered payment terms have been shortened and accelerated from the original seven years to three years to the benefit of the government of Malaysia.

The statement said in addition to the original deposit sum of RM741 million, IWH-CREC would also pay an additional RM500 million as an advance payment.

Also witnessing the signing ceremony were Finance Minister Lim Guan Eng, Ambassador Extraordinary and Plenipotentiary of China to Malaysia Bai Tian and President of China Railway Group Ltd Chen Yun.― Bernama