EPF eyes more infrastructure assets, not discounting DUKE Highway

The Employees Provident Fund Board (EPF) is eyeing more infrastructure assets, going forward, and it is not discounting the possibility of acquiring an equity interest in the Duta-Ulu Kelang Expressway (Duke) highway concession.

EPF CEO Datuk Shahril Ridza Ridzuan said it had been aggressively looking at infrastructure assets with the right risk returns and strong cash flow.

"We have invested significantly in highways the past few years and we are always open to new acquisitions.

"However, it may not necessarily be the Duke as there are lot of other potential assets we are looking at this point of time," he said after Taliworks Corporation Bhd's annual general meeting and extraordinary general meeting here today.

Currently, EPF holds equity interest in the operators of PLUS Expressways, Cheras-Kajang Highway and the New North Klang Straits Bypass Expressway.

Earlier, Taliworks and EPF announced that they would each acquire a 35 percent stake in solid waste management company, SWM Environment Holdings Sdn Bhd.

EPF Investment Division Deputy CEO Datuk Mohamad Nasir Ab Latif said this was the fund's maiden investment in the solid waste management portfolio and it hoped to continue working with Taliworks to look for matured, cash generating assets, going forward.

"We are confident that the partnership we have with Taliworks will benefit both parties especially in identifying strategic assets and implementing value enhancing strategies," he added.

During the meetings, the company received shareholders' approval for the disposal of its entire China waste and wastewater management business for US$54.6 million and the acquisition of a 35 percent stake in SWM Environment from Conseec Gali Sdn Bhd and Esys Montenay Sdn Bhd for RM245 million.

Taliworks Executive Director Datuk Lim Yew Boon said the partnership with EPF would continue to drive the company's merger and acquisition business expansion.

"Jointly, Taliworks and EPF will continue to target strategic assets that will generate strong cash flow and earnings to both entities," he added.