Puncak Niaga sued over water asset disposal

PETALING JAYA: Puncak Niaga Holdings Bhd is being sued by Pengurusan Air Selangor Sdn Bhd (PASSB) for RM63.24 million with interest, over alleged breaches of a deal between the two in relation to the disposal of Puncak Niaga’s water assets under the Selangor water restructuring programme.

Puncak Niaga completed the disposal of its entire equity interest and cumulative convertible redeemable preference shares in Puncak Niaga (M) Sdn Bhd and 70% stake and RM212 million nominal value of redeemable convertible loan stocks in Syarikat Bekalan Air Selangor Sdn Bhd to PASSB for RM1.56 billion in Oct 15, 2015.

Puncak Niaga said it has instructed its solicitors to contest the matter and to file an appearance at the pre-trial case management on May 17, 2017.

Pending the outcome of the suit, Puncak Niaga said there are no financial and operational impacts on the group.