KUALA LUMPUR May 3 A deal by a former unit of
troubled state fund 1Malaysia Development Berhad (1MDB) to sell
its stake in a property development project to a consortium
including China's state-owned China Railway Engineering
Corporation (CREC) has lapsed.
TRX City Sdn Berhad, a former 1MDB unit which was
transferred to Malaysia's finance ministry, said in a statement
that the 2015 deal to sell 60 percent of the issued and paid-up
capital of Bandar Malaysia Sdn Bhd lapsed because the buyers
"failed to meet the payment obligations".
"As a result, the share sale agreement between the parties
stands null and void with immediate effect, the statement said.
TRX City’s sole shareholder, the Ministry of Finance, will
now be retaining 100 percent ownership of the site, it said.
The company will now immediately invite expressions of
interest for the role of master developer of Bandar Malaysia.
(Reporting by Praveen Menon and Liz Lee; Editing by Muralikumar