KUALA LUMPUR: Prolintas Infra Business Trust says it has settled its dispute with Bina Puri Holdings Bhd's associate, KL-Kuala Selangor Expressway Bhd (Latar) over a cost-sharing agreement for an undisclosed amount.
According to a filing with Bursa Malaysia, Prolintas said its unit GCE Co and Latar, who were involved in the dispute since 2019, reached a settlement arrangement in relation to the arbitration award dated Nov 7.
A consent order has been recorded in court to formalise the settlement, hence the matter has been resolved, it said, while not disclosing the details of the settlement arrangement.
"The settlement will not have any material financial implications, as Projek Lintasan Kota Holdings Sdn Bhd (PLKH), the major unitholder of the trust has agreed to indemnify Prolintas Managers Sdn Bhd against any losses incurred and made against GCE Co in the arbitration cases," it said.
The statement came after a media report on Monday that Latar had filed a lawsuit in the High Court to enforce the arbitration award as Prolintas had yet fulfilled the arbitration award granted by the arbitrator.
Latar, on July 19, 2019, had commenced an arbitral proceeding against Prolintas, alleging that the company refuse to pay or reimburse Latar under the co-ordination and cost-sharing agreement.
In November, Latar won a RM46.13 million award from an arbitration case against Prolintas Expressway Sdn Bhd.
Prolintas' share price closed at 98 sen, down 1.5 sen or 1.5 per cent, for a RM1.08 billion market capitalisation.