KUALA LUMPUR (Dec 5): Mulpha International Bhd has issued the sixth series of notes under its US$200 million (RM818 million) Medium Term Note (MTN) programme.
In a filing with Bursa Malaysia yesterday, Mulpha said Mulpha MTN Ltd, a wholly-owned subsidiary of Mulpha Australia Ltd, which in turn is a wholly-owned subsidiary of Mulpha, had last Friday issued US$70 million (RM286.3 million) nominal amount of fixed rate notes, which will mature on Dec 1, 2020 (Series 6 Notes).
The Series 6 Notes, which have been issued at an interest rate of 5.75% per year payable semi-annually, are guaranteed by Mulpha Australia. The Series 6 Notes are listed on The Stock Exchange of Hong Kong.
Mulpha said it had used the proceeds to redeem Series 5 US$90 million (RM368.1 million) of Series 5 Notes.
The remaining US$20 million (RM81.8 million) of the Series 5 Notes were redeemed via internal funds.
"The issuance of the Series 6 Notes and redemption of the Series 5 Notes have reduced the gearing of the group by US$20 million. The interest savings from the reduced gearing and the lower interest rate payable under the Series 6 Notes are expected to increase the earnings per share of the group by 1.76 sen per share annually," said Mulpha.
Mulpha shares closed down one sen or 0.39% at RM2.59 yesterday, bringing it a market capitalisation of RM827.42 million. — theedgemarkets.com