1. INTRODUCTION

The Board of Directors of Sunway wishes to announce that Sunway has established a Commercial Paper/Medium Term Note Programme of RM2.0 billion in nominal value (“CP/MTN Programme”). 

Sunway had on 10 April 2020 lodged with the Securities Commission Malaysia, the required information and relevant documents relating to the CP/MTN Programme pursuant to the prevailing Guidelines on Unlisted Capital Market Products Under the Lodge and Launch Framework, and the first issuance of the commercial papers/medium term notes (“CP/MTN”) is expected to be issued out of the CP/MTN Programme by the second quarter of 2020.

Kenanga Investment Bank Berhad is the Sole Principal Adviser/Lead Arranger/Lead Manager for the CP/MTN Programme.

2. DETAILS OF THE CP/MTN PROGRAMME

The CP/MTN (pursuant to the relevant transaction documents) constitutes direct, unconditional, unsubordinated and unsecured obligations of Sunway and shall at all times rank pari passu without any preference or priority amongst themselves, and pari passu with all other present and future unsecured and unsubordinated obligations of Sunway. 

The CP/MTN Programme shall have a tenure of seven (7) 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 may only be offered, sold, transferred, or otherwise disposed directly or indirectly to persons falling within Part I of Schedule 6 and Part I of Schedule 7 of the CMSA, read together with Schedule 9 of the CMSA and Section 2(6) of the Companies Act 2016 at issuance, and will not be listed on Bursa Malaysia Securities Berhad or any other stock exchanges.

The CP/MTN have been assigned with an indicative rating of MARC-1 / AA- by Malaysian Rating Corporation Berhad. The CP/MTN shall be redeemed by Sunway at 100% of their nominal value on their respective maturity date(s).

3. UTILISATION OF THE PROCEEDS

The proceeds from the CP/MTN Programme shall be utilised to finance the investment activities, capital expenditure, working capital requirements, general corporate purposes (including but not limited to future operating expenses and financing expenses, i.e. the fees and expenses relating to the CP/MTN Programme), and/or for repayment of existing or future borrowings (including the rollover of CP/MTN) to be undertaken by Sunway and/or Sunway’s direct and indirect subsidiaries and including jointly controlled entities and associate companies.

This announcement is dated 10 April 2020.