SHAH ALAM — August 3, 2018: The acquisition of the Syarikat Pengeluar Air Sungai Selangor Sdn Bhd. (Splash) looks set to be finalised when the company agreed in principle to accept the offer of RM2.55 billion from Pengurusan Air Selangor Sdn. Bhd. (Air Selangor).
The acquisition will not involve any money from the Selangor government and will be done over the long-term.
Of the amount, RM1.9 billion will be paid upfront by Air Selangor while the balance will be paid in annual instalments over nine years.
This allows Air Selangor to operate at a reasonable operating cost, thus ensuring that the water tariffs will not burden the people, said Mentri Besar Amirudin Shari at a press conference today.
Present were Air Selangor chief executive officer Suhaimi Kamaralzaman and Splash Holdings chairman Tan Sri Wan Azmi Wan Hamzah.
Amirudin said the acquisition is equivalent to a 28 per cent discount based on Splash’s net book value on last June 30.
The acquisition will resolve the outstanding debts incurred by Air Selangor subsidiary Syarikat Bekalan Air Selangor Sdn. Bhd. to Splash for the purchase of treated water which stood at RM4.7 billion on June 30.
Amirudin said by next year Air Selangor would emerge as the sole company to process, treat and distribute treated water to all consumers in Selangor, Kuala Lumpur and Putrajaya.
Former prime minister Datuk Seri Najib Razak had said that Selangor would buy Splash for RM2.7 billion but this was denied by former MB Datuk Seri Azmin Ali. — Bernama