1MDB to sell 60 percent stake in Bandar Malaysia to consortium for RM7.41 billion

1Malaysia Development Bhd (1MDB) has inked a share sale and purchase agreement to sell a 60 per cent stake in Bandar Malaysia Sdn Bhd for RM7.41 billion to IWH-CREC Sdn Bhd consortium.

The consortium is a 60:40 joint venture between Iskandar Waterfront Holdings IWH and China Railway Engineering Corp (M) Sdn Bhd.

1MDB's land sale agreement with the consortium today marks the final major milestone in the company's rationalisation plan as presented to the Cabinet on May 29, 2015.

Speaking at a press conference here, 1MDB President/Chief Executive Officer Arul Kanda Kandasamy said the consortium has valued 100 per cent of the Bandar Malaysia land at RM12.35 billion and 1MDB would receive a 10 per cent deposit of RM741 million upon execution of the sale.