KUALA LUMPUR (Aug 19): Ekovest Bhd is seeking to dispose of 40% equity interest in its wholly-owned subsidiary Konsortium Lebuhraya Utara-Timur (KL) Sdn Bhd (Kesturi), the concessionaire of Duta-Ulu Kelang Expressway (Duke), to the Employees Provident Fund Board (EPF).

In a filing with Bursa Malaysia today, Ekovest said it has today received an expression of interest (EOI) letter from the EPF, expressing its interest to enter into an exclusive negotiation with Ekovest on the proposed disposal.

"The parties shall endeavour to finalise the terms and conditions in relation to the proposed disposal within 21 market days from our acceptance to the EOI or such other extended date to be mutually agreed," Ekovest said.

"Further announcement will be made in due course," it added.

Ekovest is controlled by its major shareholder and executive chairman Tan Sri Lim Kang Hoo, who owns 32.38% of the company's shares, together with Datuk Harris Onn Hussein, the brother of defence minister Datuk Seri Hishamuddin Hussein, who holds a 13.84% stake.

Back in 2012, Ekovest had bought a 70% stake in Kesturi under an RM325 million share-swap deal. Two years later, Malaysian Resources Corp Bhd (MRCB) had divested its 30% stake in Kesturi to Ekovest for RM230 million cash.

The Edge weekly had in May reported that EPF chief executive officer Datuk Shahril Ridza Ridzuan Shahril used to be a director of Kesturi. Recall that Shahril was the group managing director of MRCB between 2003 and 2009. He still serves as a non-independent, non-executive director.

It was also reported that Ekovest had earlier this year secured the 53-year concession for 50-km long Duke 3, which has an estimated cost of RM3.7 billion.

Ekovest shares closed unchanged at RM1.68 today, with 590,700 shares done. Its market capitalisation stood at RM1.44 billion.