KUALA LUMPUR (Mar 12): Malaysia Pacific Corp Bhd (MPCorp) has been served with a notice of default from RHB Bank Bhd to repay three outstanding banking facilities totalling RM104.51 million within one month.

In a filing with Bursa Malaysia today, MPCorp (fundamental: 0.2; valuation: 0.9) said the facilities were secured against the investment property of the company, Wisma MPL here.

It added that it is the company’s intention to dispose the investment property to address the financial situation of the company as announced on Feb 16, 2015.

"The investment property of the company was valued at RM320 million by an independent firm of professional valuers on Oct 14, 2014. The board of directors is of the opinion that the company is solvent in that it will be able to repay its debts as and when they fall due within the period of 12 months from the date of this announcement," it added.

However, having been served notice of default, MPCorp said it is seeking legal advice on the notice and will take appropriate steps to address the issue.

"The company will make further announcements of any new development in connection thereto," it added.

MPCorp shares closed up 2.5% to 20.5 sen today. It has a market capitalisation of RM57.53 million.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)