Kinsteel granted extension for repayment

Kinsteel granted extension for repayment
Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Friday, 06 September 2013 09:56

KUALA LUMPUR: KINSTEEL BHD [] has been granted an extension for the repayment of its RM40 million outstanding commercial paper until Oct 5, while finalising a restructuring proposal to repay its maturing debt paper.

Kinsteel announced yesterday it had received a letter from RHB Investment Bank, which granted a further indulgence for Kinsteel’s maturing commercial paper under its commercial paper/medium term notes (CP/MTN) programme.

“The maturing commercial paper was due on Aug 28, 2013 and the CP/MTN Programme had expired on the said day,” said Kinsteel.

The company said in addition to the said indulgence, RHB Investment Bank had consented to remove the rating of the maturing commercial paper under the CP/MTN programme with immediate effect.

“In relation to the above, the board wishes to inform that Kinsteel is in the process of finalising a restructuring proposal with RHB Investment Bank to repay the maturing commercial paper,” it said.

Kinsteel’s share price jumped three sen or 11.54% to close at 29 sen yesterday, with 19.399 million shares changing hands.



This article first appeared in The Edge Financial Daily, on September 06, 2013.