KUALA LUMPUR (April 10): Sunway Bhd has established a commercial paper/medium-term note programme (CP/MTN Programme) of RM2 billion in nominal value.

“The CP/MTN Programme shall have a tenure of seven years from the date of the first issuance, and the CP/MTN to be issued under the CP/MTN Programme are unsecured and shall be transferable and tradable in the secondary market.  

“The CP/MTN have been assigned an indicative rating of MARC-1 / AA- by Malaysian Rating Corporation Bhd. The CP/MTN shall be redeemed by Sunway at 100% of their nominal value on their respective maturity date(s),” Sunway said in a stock exchange filing today.

The proceeds from the CP/MTN Programme will be used to finance the investment activities, capital expenditure, working capital, general corporate purposes and/or for repayment of existing or future borrowings to be undertaken by Sunway or its subsidiaries, including jointly controlled entities and associate companies.

The group said it has lodged all required information and relevant documents related to the CP/MTN programme with the Securities Commission today.

The CP/MTN programme is expected to be issued by the second quarter of 2020.

Kenanga Investment Bank Bhd is the sole principal adviser, lead arranger and lead manager.

Sunway shares closed unchanged at RM1.57 today, giving it at market capitalisation of RM7.7 billion. The counter saw some 645,400 shares done.