Mudajaya to set up company in Saudi Arabia

KUALA LUMPUR: Mudajaya Middle East Ltd, a 75% subsidiary of Mudajaya Corp Bhd, has entered into a Memorandum of Understanding (MoU) with two parties in Saudi Arabia on Jan 24 to set up a specialist equipment procurement contracting company called Mudajaya Power and Water Ltd (MPWL).

Mudajaya Corp is a wholly owned subsidiary of the Mudajaya Group.

Mudajaya Middle East signed the MoU with Modern Electro-Mechanical Projects Ltd and Mubarak Abdullah Mohammed Al Khafra with the purpose of allowing both parties to enter as active shareholders in MPWL.

“The MoU is valid for a period of six calendar months in that each party shall not enter into same dialogue or similar MoU with any other party and extendable upon written notes signed by both parties,” said the Mudajaya Group in a filing to Bursa Malaysia on Jan 25.

The MoU does not have any financial impact on the Mudajaya Group for the current financial year ending Dec 31, 2010.