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Tenaga to take over 1MDB's stake in power plant

News of the 70% stake acquisition for undisclosed sum sparks slump in the national utility company's shares

The sale of the 1MDB asset comes at a time when the fund plans to pare down its debt of nearly RM42 billion (S$15.1 billion) that has weighed on the ringgit and Malaysia's credit rating.

Kuala Lumpur

MALAYSIA said on Thursday that national utility Tenaga is taking over debt-laden state fund 1Malaysia Development Bhd's entire 70 per cent stake in a planned 2,000 MW coal-fired power project, sparking a slump in Tenaga's shares.

The move marks the first sale of a