KUALA LUMPUR (Oct 1): Property developer Eco World Development Group Bhd (EcoWorld) told Bursa Malaysia today that all the conditions precedent (CP) set out in its agreements in relation to its joint development of the RM8 billion Bukit Bintang City Centre project at the former Pudu Jail site have been met.
As such, its subscription and shareholders agreement (SSA) with Uda Holdings Bhd (UDA), the Employees Provident Fund (EPF) and BBCC Development Sdn Bhd that was entered into on Feb 4 — whereby EcoWorld, UDA and EPF agree to invest and fund BBCC as the vehicle to undertake the proposed joint development — has become unconditional.
Under the SSA, UDA and EcoWorld will each own a 40% stake in BBCC, with the remaining 20% held by EPF.
Similarly, the joint-development agreement (JDA) inked between BBCC and UDA that same day to jointly develop the 19.4 acre land into a mixed residential and commercial development has also become unconditional.
Pursuant to the JDA, UDA, as the landowner, granted BBCC full and unfettered rights to carry out the development for a total consideration of RM1.01 million.
Among the CP set out in the SSA were: EPF would be satisfied with the results of the due diligence exercise, and the receipt of relevant shareholders' approval in relation to the terms of the agreements.
Under the JDA, among the CP were that all CP under the SSA have been fulfilled, relevant approval from authorities for the re-zoning of the land from 'institutional' to 'mixed use commercial' being obtained, together with the planning approval in principle for the development.
The project will have a mix of residential and commercial development comprising a retail mall, an entertainment block, strata offices, office towers, a hotel and serviced residences.
As at 4.17pm today, EcoWorld's shares fell 1 sen or 0.72% to RM1.38, after 2.18 million shares were traded, for a market capitalisation of RM3.29 billion.
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