Air Selangor, Splash extend deadline for SPA

PETALING JAYA: Pengurusan Air Selangor Sdn Bhd (Air Selangor) and Syarikat Pengeluar Air Sungai Selangor Holdings Bhd (Splash) have mutually agreed to extend the cut off period for the fulfilment of the condition precedent to the share purchase agreement (SPA) for the Splash acquisition deal to Feb 28, 2019.

Gamuda Bhd and Kumpulan Perangsang Selangor Bhd said in separate filings with the stock exchange that Air Selangor and Splash have decided to extend to the aforesaid date from the initial deadline of Dec 27.

To recap, Air Selangor inked SPAs with the duo in Sept, to acquire Gamuda’s 40% stake and Kumpulan Perangsang Selangor’s 30% equity interest in Splash, in a bid to consolidate the Selangor water industry.

The remaining 30% stake is held by The Sweet Water Alliance Sdn Bhd, which is controlled by businessman Tan Sri Wan Azmi Wan Hamzah.

The total purchase price of RM2.55 billion to be paid by Air Selangor for the 100% stake of Splash will be distributed via upfront sum of RM1.9 billion, followed by nine annual instalments for the remaining RM650 million.

Once completed, Gamuda and KPS stand to receive total gross proceeds of RM1.02 billion and RM765 million for their shareholdings in Splash.

Gamuda fell 2.63% to close at RM2.22 with 2.82 million shares done. Kumpulan Perangsang Selangor on the other hand declined 1.58% to close at RM1.25 with 222,600 shares done.

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