'Possibly' another extension in Battersea Phase 2 deal, says PNB

KUALA LUMPUR (Sept 27): Permodalan Nasional Bhd (PNB) is not discounting another extension for the completion of the proposed stake acquisition in the Battersea Power Station (BPS) project in the UK.

"Possibly… We will probably have better clarity on this in the fourth quarter [of 2018]," said PNB chief executive officer Datuk Abdul Rahman Ahmad when asked whether another extension could happen, as its latest deadline was set for Sept 30.

"We are still in the process of finalising the transaction — at the moment, we are nearly completing our due diligence exercise. But it is still subject to final negotiations of terms [involved]," added Abdul Rahman at a press conference on PNB's year-to-date financial performance here today.

PNB, alongside Employees Provident Fund (EPF), had in January this year proposed the acquisition of commercial assets worth £1.61 billion (RM8.8 billion) in Battersea Phase 2 Holding Co Ltd.

Battersea Phase 2 Holding is a unit of Battersea Project Holding Co Ltd, which is the vehicle undertaking the overall BPS redevelopment.

S P Setia Bhd and Sime Darby Property Bhd both hold 40% each in Battersea Project Holding, with another 20% held by EPF.

If the potential acquisition of assets in Phase 2 by both PNB and EPF proceeds, it would mark a restructuring that means PNB and EPF takes a direct exposure in those assets. — theedgemarkets.com

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