China's CGN buys Malaysia's 1MDB power unit for USD2.3b

(MENAFN) 1MDB, the Malaysian state fund has approved to sell its energy business in a USD2.3 billion cash deal to China General Nuclear Power Corporation (CGN), based on the latest reports.

Additionally, this sellout comes as the fund seeks to cut its debt and reinstate investor confidence in the Southeast Asian country, a confidence which has been impacted by the global probe into alleged graft at the fund.

China General Nuclear Power Group (CGN) will assume all the debt of 1MDB's power unit, not to mention that Edra Global Energy Bhd, the largest independent power producer in Bangladesh and Egypt has also shown interest.

"CGN Group was a clear winner in this international tender, based on the objectives announced by 1MDB previously, and this purchase brings a major FDI commitment to Malaysia," stated the Malaysian President.