Toll operators’ shares dip as govt delays toll rate hike

K

A general view of traffic at the Jalan Duta Toll Plaza on the first day of the recovery movement control order June 10, 2020. — Picture by Yusof Mat Isa

Subscribe to our Telegram channel for the latest updates on news you need to know.

---

UALA LUMPUR, April 30 — Toll operators’ shares on Bursa Malaysia, including Gamuda Bhd and Ekovest Bhd, took a hit in the early session today, as the government announced the postponement of the toll hike involving several major highways this year.

As at 11.39am, Gamuda’s shares shed 2.0 sen to 2.5 sen with 81,100 shares transacted while Ekovest was flat at 45.5 sen with 14.69 million shares changing hands.

On Friday, Works Minister Datuk Seri Fadillah Yusof said the government had decided to postpone the toll hike for several highways, namely Kesas Highway, South Klang Valley Expressway, East Coast Highway 2, North-South Highway, Duta-Ulu Kelang Expressway (Duke), Damansara-Puchong Highway (LDP) and KL-Putrajaya Highway (MEX).

Gamuda owns a 44 per cent stake in Lingkaran Trans Kota Holdings Bhd (Litrak Holdings), the operator of LDP highway while Ekovest operates the DUKE highway.

Fadillah said the postponement of the toll hike to 2022 will cost the government RM2.25 billion.

He said the decision was made to ease the burden of the people due to the rise in the cost of living, adding that the government has agreed to the restructuring of toll rates to be finalised before 2023. — Bernama

 

Source: Malay Mail