Govt approves RM1.15bil WCE financing

PETALING JAYA: The government has approved a RM1.15bil financing from Bank Pembangunan Malaysia Bhd to the loss-making operator of the 233-km West Coast Expressway (WCE).

West Coast Expressway Sdn Bhd (WCESB), an 80%-owned unit of WCE Holdings Bhd, is set to receive a term-loan facility of up to RM1.15bil to part-finance costs and expenses associated with the WCE.

The government’s consent was received on April 18. The WCE connects Taiping, Perak and Banting, Selangor.

The money from the term loan will cover development, design, construction fees and financing costs (including interest during construction), as well as other related fees and expenses in relation to the expressway project.

“The board is of the view that the facility is in the best interest of the company,” WCE said in a filing with Bursa Malaysia.