KUALA LUMPUR (Dec 29): Mulpha International Bhd said it is subscribing for US$60 million (RM268.80 million) notes issued by a wholly-owned unit of Mudajaya Group Bhd.

The Series 1 7% notes, due in 2019, was issued by Mudajaya Ventures Ltd (MVL) under its US$200 million Euro Medium Term Note Programme.

In a filing with Bursa Malaysia yesterday, Mulpha said it is subscribing for the notes through its indirect wholly-owned unit, Mulpha Strategic Ltd (MSL).

It said the subscription will be partially funded by a HK$375 million (RM216.70 million) margin loan facility granted by Sun Hung Kai Investment Services Ltd.

The group said it views the subscription as an attractive investment opportunity, adding it only has to invest a cash outlay of US$12 million for the subscription, after obtaining the loan.

This article first appeared in The Edge Financial Daily, on Dec 29, 2016. Subscribe to The Edge Financial Daily here.

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