5 bids to buy over UEM

The Malaysian Government is studying all five proposals and the Prime Minister hints that he would mention something about them in his budget speech on Friday


Prime Minister Datuk Seri Najib Razak yesterday revealed that there were in fact five proposals made to buy over the government's stake in UEM Group Bhd.

The market had hitherto known of only two: one submitted by MMC Corp Bhd and the other by privately-owned Asas Serba Sdn Bhd, which proposed several months ago to buy over UEM listed unit PLUS Expressways Bhd.

Najib, who made the disclosure in Putrajaya, said the government was studying all five proposals.

"There are five proposals (which are) very interesting propositions (involving) companies and innovative methods," Najib told reporters after launching the 61st Session of the World Health Organisation Regional Committee for the Western Pacific.

The Prime Minister did not elaborate on the proposals, but hinted that he would mention something about them in his budget speech on Friday.

UEM has been eyed by potential suitors of late, with analysts saying that the gem attracting interest is PLUS, concessionaire for most of the highways in the country, including the heavily-used North-South Expressway.

Apart from MMC, which said that it had submitted an early proposal to the government, Asas Serba has also made known its intention to acquire PLUS.

In making its proposal public several months ago, Asas Serba promised that it would keep the toll rates low.

The stake in PLUS, and UEM, which outside companies are eyeing is owned by government sovereign fund manager Khazanah Nasional Bhd.

Khazanah managing director Tan Sri Azman Mokhtar has pointed out that PLUS is a critical national asset.

He also said that the toll highway concessionaire is well managed.

Azman said that a decision on the proposals would not take too long and that the government would look at all aspects of the proposals, including the one from MMC.

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