1. INTRODUCTION 

The Board of Directors of Sunway Berhad (“Sunway”) wishes to announce that Sunway Parkview Sdn Bhd (“Sunway Parkview”), a 60%-owned subsidiary of Sunway, has established a Medium Term Notes Programme of up to RM999.0 million in nominal value (“MTN Programme”) and made the first issuance of medium term notes (“MTNs”) of RM300.0 million (“Tranche 1 MTNs”) on 29 September 2017.

Sunway Parkview had on 22 September 2017, lodged with the Securities Commission Malaysia, the required information and relevant documents relating to the MTN Programme pursuant to the Guidelines on Unlisted Capital Market Products Under the Lodge and Launch Framework.

Public Investment Bank Berhad is the Principal Adviser and Lead Arranger for the MTN Programme.

2. DETAILS OF THE MTN PROGRAMME AND TRANCHE 1 MTNS

The MTN Programme shall have a tenure of up to 30 years from the date of the first issue which allows Sunway Parkview to issue different tranches of MTNs from time to time. 

The Tranche 1 MTNs are issued in four (4) series with tenure of between nine (9) to twelve (12) years. The Tranche 1 MTNs are guaranteed by Sunway up to 60% of the indebtedness and are secured by amongst others, charge over lease on ten (10) parcels of adjoining development land (“Lands”) earmarked for residential and commercial use and measuring approximately 152.73 acres in total held under issues document of titles PTD 200666, PTD 200682, PTD200683, PTD 200686, PTD 200687, PTD 200688, PTD 200689, PTD200690, PTD 200693 and Lot 165128, all in Tempat Medini Iskandar Zon F, Mukim Pulai, Daerah Johor Bahru, Johor. 

The MTNs issued under the MTN Programme are unrated, non-tradable and non-transferable. 

3.   UTILISATION OF PROCEEDS

The proceeds from the Tranche 1 MTNs shall be utilised to part finance or reimburse Sunway Parkview’s cost of acquiring the lease(s) over the Lands from Sunway Iskandar Sdn Bhd.
In respect of the remaining tranches of MTNs (“Remaining Tranches MTNs”), the proceeds of the Remaining Tranches MTNs shall be utilised to finance or reimburse the development expenditure of Sunway Parkview or its related corporations in relation to the development project over the Lands and other property project as may be mutually agreed between Sunway Parkview, the Tranche 1 MTNs holder (in the case where Tranche 1 MTNs holder is an existing MTNs holder at the time of each issuance) and the prospective subscribers of that Remaining Tranches MTNs.

This announcement is dated 29 September 2017.