SMRT says no official word yet on clinching Bandung project tender

A SMRT train travelling along the line from the Jurong East interchange in Singapore.
A SMRT train travelling along the line from the Jurong East interchange in Singapore.PHOTO: AFP

SMRT Corp has clarified that it has not received any official notification as to whether it has won a tender to build a public rail project in Bandung, Indonesia.

The rail operator's statement to the Singapore Exchange on Monday night followed a Facebook post by Bandung mayor Ridwan Kamil last week.

Mr Kamil had written that SMRT had won the bid for the LRT Corridor 1.

He added: "Barring any obstacles, construction will begin in 2017. I pray that it will be smooth, and hopefully it will be able to reduce Bandung's congestion. Thank you."

SMRT did not directly address Mr Kamil's comments in its statement.

It said that on Sept 9, a consortium comprising its unit SMRT International and PT T-Files Indonesia had submitted a formal bid to participate in the public tender in a "framework of investment construction" of Corridor 1 Rail-Based Public Transportation and its supporting facilities in Bandung.

The tender closed that same day.

SMRT said: "No agreement has been reached to date on the terms of any definitive agreements to be entered into in relation to the construction and implementation of the project."

Even if the tender is awarded to SMRT's consortium, SMRT does not expect the project to have a material impact on its net tangible assets per share or earnings per share for the current financial year, the firm said.

SMRT said it would make appropriate announcements if there were any material developments.

However, that is subject to SMRT remaining a listed entity. A shareholder vote tomorrow could change that.

A version of this article appeared in the print edition of The Straits Times on September 28, 2016, with the headline 'SMRT clarifies Bandung project bid'. Print Edition | Subscribe