KUALA LUMPUR (Jan 22): The Qatar Investment Authority (QIA) has received principle approval from its investment committee to participate in the ownership of the Pavilion Bukit Jalil mall here, which is being developed by Malton Bhd.

However, the stake size in the Pavilion Bukit Jalil mall was not revealed.

In a filing with Bursa Malaysia today, Malton said QIA had, via its letter dated Jan 3, 2019, informed (Malton) that it has obtained principle approval from its investment committee to work towards participating in the ownership of the on-going development.

"(This is) subject to the completion of due diligence and execution of legal definitive agreements," it said.

"Further announcements will be made in due course," Malton added.

On July 9, 2018, The Edge Malaysia weekly had reported quoting sources that Canada Pension Plan Investment Board was in talks with Malton on the purchase of up to a 49% stake in the Pavilion Bukit Jalil mall.

More recently on Jan 17, Malton announced that Pavilion Real Estate Investment Trust (REIT) has decided not to participate in the ownership of the Pavilion Bukit Jalil mall, but it did not give a reason.

Both Pavilion REIT and Malton are linked to property tycoon Tan Sri Desmond Lim Siew Choon, who is a substantial shareholder and chairman in both entities.

Pavilion Bukit Jalil comprises one block of retail mall with five levels of retail space and two levels of basement parking. The mall, scheduled to open in the third quarter of 2020, will have a net lettable area of 1.8 million sq ft.

The Pavilion Bukit Jalil mall is part of the wider Bukit Jalil City project, with a gross development value of RM4 billion, which is being undertaken by Malton's wholly-owned subsidiary Pioneer Haven Sdn Bhd.

At 4.40pm, Malton shares were up 1.5 sen or 2.94% at 52.5 sen, with 2.16 million shares done, bringing a market capitalisation of RM277.27 million.