Malton down 1.98% after warning of possible failed venture in Taiwan

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KUALA LUMPUR (Aug 9): Malton Bhd shares fell 1.98% this morning after the firm said its joint venture unit could be on the brink of losing its qualification to bid for the construction of a superstructure above the airport express train station located near the main train station in Taipei.

At 9.03am, Malton fell 1 sen to 49.5 sen for a market capitalisation of RM261.43 million.

Malton said if the JV unit fails to sign an investment agreement for the project with the Taipei city authorities by tomorrow (Aug 9), its qualification as the best applicant for the project would be waived.

Last December, Malton’s JV with Hong Kong-listed Nan Hai Corp Ltd was selected to enter into the next phase of the bidding process for the project.

However, Malton today said the JV is unable to sign the agreement as Taiwan’s Investment Commission did not allow the JV to remit NT$1 billion to Taiwan to establish a special purpose vehicle as required for the project.