Business Today– BPMB Supports Sustainable Infrastructure With RM2.7 Billion Financing To PROLINTAS
KUALA LUMPUR, 11 January 2024
Bank Pembangunan Malaysia Berhad (BPMB) has announced a significant move by granting Tawarruq Asset Financing facilities totaling RM2.7 billion to Prolintas Managers Sdn Bhd, a wholly-owned subsidiary of Projek Lintasan Kota Holdings Sdn Bhd (PROLINTAS). This substantial financing marks a crucial economic driver to support PROLINTAS Group in its extensive restructuring initiative, involving four key concessions – Ampang – Kuala Lumpur Elevated Highway (AKLEH), Guthrie Corridor Expressway (GCE), Lebuhraya Kemuning – Shah Alam (LKSA), and Kajang Dispersal Link Expressway (SILK).
PROLINTAS Group’s commitment to sustainability and affordability of the highways is showcased through a comprehensive restructuring exercise, which includes extending the concession period and laying the foundation for a listing exercise involving the Concession Companies.
The successful restructuring by PROLINTAS, coupled with strategic investments in safety and technology, has ensured operational efficiency. This, in turn, has allowed the company to maintain sustainable investment returns and yield to investors, even after reducing toll rates. PROLINTAS continues to fulfill its corporate responsibility as a vital asset company contributing to the betterment of the public.
Bank Pembangunan, Group CEO, Roni Abdulwahab, emphasised the significance of their partnership with PROLINTAS, highlighting BPMB’s commitment to delivering impact capital for national development and playing a counter-cyclical role in bolstering long-term sustainable infrastructure investment.
“Our partnership with PROLINTAS exemplifies Bank Pembangunan’s commitment to delivering impact capital for national development and our counter-cyclical role in bolstering long-term sustainable infrastructure investment. Given their integral role in the Kuala Lumpur outer ring road system, these highways play a crucial part in linking communities to satellite cities and economic hubs within the Klang Valley.” he said.
Group CEO of PROLINTAS, Group CEO, Dato’ Mohammad Azlan Abdullah, expressed pleasure in partnering with BPMB on this financing initiative. He emphasized the alignment with the government’s efforts to reduce toll rates and ease the cost of living.
The financing from BPMB will aid PROLINTAS in continuing to enable access to support economic development, restructuring debt for feasibility, and offering enhanced urban connectivity, realizing its mission to become the commuters’ route of choice.
Established in 1995, PROLINTAS has significantly improved mobility within the Klang Valley, benefiting approximately 600,000 daily users by alleviating congestion and reducing travel time.
Dato’ Mohammad Azlan Abdullah, Group Chief Executive Officer of PROLINTAS said, “We are pleased to partner with BPMB on this financing initiative that aligns with the government’s effort to ease the cost of living by reducing our toll rates. At PROLINTAS, we are committed to providing the best highway service. BPMB’s financing will help us to continue enabling access to support economic development, restructure our debt to make it more feasible while continuing to offer enhanced urban connectivity and realising our mission to become the commuters’ route of choice.” « Back