MRCB ventures into Penang Sentral project

KUALA LUMPUR: Malaysian Resources Corporation Bhd (MRCB) and Pelaburan Hartanah Bumiputera Bhd are setting up a joint venture company - Penang Sentral Sdn Bhd - for the Penang Sentral project, pending Foreign Investment Committee’s approval.

According to a statement released by Bursa Malaysia on Dec 14, MRCB said the proposed Penang Sentral project will include the development of an Integrated Transportation Hub comprising bus, taxi, railway terminal and monorail.

It will also include the retail, residential, commercial components, services facilities, the company said.

Bursa Malaysia said Penang Sentral Sdn Bhd has also signed a turnkey development contract with MRCB Selborn Corporation Sdn Bhd, a 60% subsidiary of MRCB, for the development management service, design, construction, completion and maintenance of the Penang Sentral Project.

It said the project, when completed, will be the central transportation hub for Penang, integrating Penang’s ferry, train, intercity and intra-city bus and taxi services and a monorail station.

“It will also include an integrated development comprising of commercial, residential and retail components, service facilities and car park areas, all located within an approximately 30-acre site.”

On the rationale for the joint venture, MRCB said their participation in the urban development of Penang will enable it to use its experience and expertise in property development to increase the group’s business growth and revenue.

“It is part of MRCB’s principal activities in property development and investment, construction, engineering, concession and environmental rehabilitation operations,” it added.

Meanwhile, MRCB said the proposed joint venture and the Turnkey Development contract are not expected to have any material impact on the earnings and net tangible assets of MRCB for the current financial year ending Dec 31, 2007.

By The EDGE MALAYSIA