Gamuda, MMC Corp down after jointly owned unit served arbitration notice

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KUALA LUMPUR (Oct 30): Shares in Gamuda Bhd and MMC Corp Bhd retreated early today after their jointly owned unit was served an arbitration notice relating to the 329km Electrified Double Track Project (EDTP) between Ipoh and Padang Besar by Emrail, formerly known as Time Salam Sdn Bhd.

At 9.15am, Gamuda was down 2.13% or 5 sen to RM2.30 while MMC Corp dipped 1.82% or 2 sen to RM1.08.

Yesterday, the companies in separate filings to Bursa Malaysia said MMC-Gamuda Joint Venture Sdn Bhd (MGJV) was served an arbitration notice premised on Emrail’s alleged dispute arising out of the conditions of contract dated Dec 23, 2010 for the construction, completion, testing, commissioning and maintenance of track works for the EDTP.