George Kent and MRCB see active trading on news of LRT3 continuation

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KUALA LUMPUR (July 13): Shares of Malaysian Resources Corp Bhd (MRCB) and George Kent (M) Bhd were among the most active counters in the morning trade today, as the Pakatan Harapan led-government gave the green light to carry on the light rail transit 3 (LRT3) project yesterday.

In active trade this morning, George Kent rose as much as 13.95% or 18 sen. However, MRCB fell as much as 6.75% or 5 sen.

At 11.27am, George Kent rose 11 sen or 8.53%, with 60.40 million shares traded. 

Meanwhile, MRCB's share price retreated from yesterday's closing price, as investors took some profit today. It dropped by 5.41% or four sen to 70 sen, with 120.73 million shares done.

Finance Minister Lim Guan Eng announced yesterday that the final total cost of the LRT3 project will be reduced by 47%, from RM31.65 billion to RM16.63 billion, resulting in total savings of RM15.02 billion.

Lim said the completion date for the LRT 3, stretching from Johan Setia (Klang) to Bandar Utama (Petaling Jaya), was extended from 2020 to 2024 to further reduce construction cost which was inflated.

The finance minister had said a thorough renegotiation and rationalisation exercise of the LRT3 project was undertaken with all key stakeholders, including Prasarana Malaysia Bhd, MRCB-George Kent (M) Bhd joint venture (MRCB-GK JV) who is the Project Delivery Partner (PDP), and Land Public Transportation Commission (SPAD).