FGV terminates MoU with Mara

PETALING JAYA: Felda Global Ventures Holdings Bhd (FGV) and Majlis Amanah Rakyat (Mara) have decided to scrap the memorandum of understanding (MoU) signed between the two parties on May 12, 2016, to collaborate in logistic services, specifically in the aviation sector, within Mara group.
In 2014, the federal government awarded Mara the job to develop Sultan Abdul Aziz Shah Airport in Subang as Original Equipment Manufacturer (OEM) for Southeast Asia. The project is now called Asia Aerospace City.
FGV announced in a Bursa Malaysia filing on Friday, the two decided to terminate the MoU signed between Felda Transport Services Sdn Bhd and Mara Liner Sdn Bhd without disclosing the reason behind the termination. The termination is not expected to impact the earnings of both parties.
In May, FGV's board had stated that it had approved a further one year extension to the MoU and was awaiting the decision of its counterpart on the extension.
FGV's shares remained at RM1.71 with some 2.77million shares changing hands.