George Kent, Siemens to partner 3 more European firms to bid for KL-S'pore HSR

KUALA LUMPUR (Feb 12): George Kent (Malaysia) Bhd said both the company and Siemens Aktiengesellschaft of Germany and Singapore-based Siemens Pte Ltd (collectively referred to as Siemens) will now work with Alstom, Ferrovie dello Stato Italiane and PORR to prepare a joint offer to bid for the Kuala Lumpur-Singapore high speed rail (HSR) project.

In a filing with Bursa Malaysia today, George Kent said the companies will work to prepare a joint offer encompassing engineering, procurement and construction, and operations and maintenance for the purpose of the KL-Singapore HSR tender.

In a separate statement, George Kent said the partnership will result in a powerful team combining European technology and project experience with the best local expertise.

"This consortium brings together the two manufacturers, Siemens and Alstom, with decades of technology leadership and excellence in delivering complex cross-border high speed railway projects.

"In the past, both companies have worked on similar complex private public partnership (PPP) projects across the globe," it said.

It added that Ferrovie dello Stato Italiane brings valuable expertise in railway operation and a vast global footprint.

As for George Kent, it offers significant construction experience in rail transportation projects and a strong local knowledge of the Malaysian market.

PORR, meanwhile, is an experienced track work provider, offering a state-of-the-art slab track technology proven in operation on high speed railways.

"The KL-Singapore HSR project is one of the most prominent projects in the region. George Kent has assembled a strong team and will be working with experienced partners to deliver and maintain the safest and most reliable high speed rail systems in the world," George Kent chairman Tan Sri Tan Kay Hock said in the statement.

"We aim to facilitate technology transfer and maximise the local content, resources and human capital in line with Malaysia's aspiration of developing a resilient and vibrant rail industry," Tan added.

Alstom senior vice president for Asia-Pacific Jean-Francois Beaudoin said the company has been keenly looking at this tender and seeking the best partnerships — locally and internationally to offer the finest solution to Singapore and Malaysia.

Head of Siemens Mobility Asia Pacific, Michel Obadia, also said the KL-Singapore HSR is a ground-breaking project that will significantly prosper the economic and social ties of millions of Malaysians and Singaporeans.

"Siemens is a trusted partner for both countries having contributed to their vital infrastructure development for many years. We have also been committed to technology transfer to both countries, and we look forward to continuing our partnership with this iconic project," Michel said.

Similar to Michel, FS Group (Italian State Railways) executive vice president of international markets Filippo Scotti also commented that the KL-Singapore HSR is a strategic project that will bring a leap forward in the economic and social development of Malaysia and Singapore.

Trading in George Kent's securities was suspended from 2.30pm until 3.30pm today. It was last traded at RM3.79 in the morning, up 0.53% or 2 sen, with about 589,700 shares changed hands. At current level, the group is trading at a trailing P/E of 20.1 times with a market capitalisation of RM2.13 billion. — theedgemarkets.com

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