Trouble-stricken 1MDB vows it’s here to stay

By admin-s On Mar 6, 2015

(FMT) – 1Malaysia Development Berhad (1MDB), in an exercise in semantics evidently scripted by a “media expert”, has purportedly denied a Reuters report that the company will be left as a shell company and dismantled under a debt repayment plan which involves liquidation of its assets.

In a statement given only to Kinibiz, 1MDB refers to its mantra under a strategic review plan viz. standalone entities, monetization, the sale of land development rights and joint-ventures.

The 1MDB statement in Kinibiz, as carried by the Malaysian Insider reads:

“In our strategic review, we stated our intention for TRX (Tun Razak Exchange) and Bandar Malaysia to be run as standalone entities with independent governance structures and responsibility for their own operations and finances, as is presently the case with Edra Energy.”

“We also stated that Edra Energy will be monetized in 2015, whilst we expect TRX and Bandar Malaysia to sell land development rights and/or enter into profit-sharing joint ventures with government-linked or private companies who can contribute not only development expertise but also equity and debt to finance specific projects.”

Under the aggressive restructuring plan, crafted by new boss Arul Kanda and blessed by the government, the fund will sell 80 percent of its power unit Edra Energy via a stock market listing, three sources with direct knowledge of the situation told Reuters.