CLAIM 1 (FORMERLY KNOWN AS "MAIN ACTION") BETWEEN PRAI POWER SDN BHD ("PPSB" OR "PRAI POWER") (AS CLAIMANT) AND (1) GE ENERGY PARTS, INC ("GE ENERGY PARTS"), (2) GE POWER SYSTEMS (MALAYSIA) SDN BHD ("GE POWER SYSTEMS"), (3) GENERAL ELECTRIC INTERNATIONAL, INC ("GE INTERNATIONAL"), AND (4) GENERAL ELECTRIC COMPANY ("GE") (COLLECTIVELY "GE ENTITIES") (AS RESPONDENTS); AND
CLAIM 2 (FORMERLY KNOWN AS "THIRD PARTY CLAIM") BETWEEN GE ENTITIES (AS CLAIMANTS) AND (1) MALAKOFF POWER BERHAD ("MPB"), AND (2) MALAKOFF CORPORATION BERHAD ("MCB") (COLLECTIVELY "MALAKOFF ENTITIES") (AS RESPONDENTS), IN RELATION TO THE PRAI POWER PLANT ("PLANT")
Further to the Company's earlier announcements dated 13 August 2019, 4 October 2019, 16 January 2020 and 22 June 2020 in respect of SIAC Arbitration No. 278 of 2018 commenced by Allianz General Insurance Company (Malaysia) Berhad, in the name of Prai Power, a wholly-owned subsidiary of MCB, as Claimant in Claim 1, against the GE Entities as Respondents, in relation to the Plant, MCB wishes to announce that it has on 6 July 2026 received from SIAC Secretariat the Partial Final Award on Claim 1 dated 6 July 2026, registered as Award No. 110 of 2026 in the SIAC Registry of Awards ("Partial Final Award").
The Partial Final Award was issued by the Arbitral Tribunal ("Tribunal"), following the evidentiary hearing on Claim 1, the parties' exchange of closing submissions and reply submissions, and the Tribunal's declaration that the proceedings in respect of Claim 1 were closed.
In the Partial Final Award, the Tribunal has decided, ordered and awarded as follows:
- Prai Power's Claim 1 against the GE Entities is dismissed;
- GE Entities' Counterclaim against Prai Power is dismissed;
- each Party shall bear its own legal costs and expenses; and
- all other claims for relief in relation to Claim 1 are dismissed.
Following the bifurcation of Claim 1 and Claim 2 on 28 June 2025, the Tribunal had determined to proceed with the hearing of Claim 1 first. Consequently, the Tribunal has expressly reserved jurisdiction to determine all disputes relating to Claim 2 as between the GE Entities and the Malakoff Entities, together with any consequential issues.
As Claim 2 was not before the Tribunal, the Partial Final Award makes no findings, whether adverse or otherwise, on any of the issues raised in Claim 2, including the GE Entities' claims against MCB and MPB. Any further proceedings in respect of Claim 2 will be subject to the GE Entities electing to pursue Claim 2 and the Tribunal's further directions.
The Partial Final Award is not expected to have any material financial impact on the MCB Group for the financial year ending 31 December 2026.
MCB will continue to safeguard its interests in relation to Claim 2 and will make further announcement(s) on any material developments in relation to the above matter as and when required.
This announcement is dated 7 July 2026.