Carson’s-related plantations companies in Indonesia and Malaysia are set to grow further following some new developments relating to further investments.
The Sri Lankan group on Friday announced that Indo-Malay PLC has an investment in two oil palm plantation projects in Indonesia, - PT Agro Indomas (PTAI) and PT Agro Bukit (PTAB) through investments made by Shalimar Developments Sdn Bhd (SDSB). SDSB is a group subsidiary of Goodhope Asia Holdings Ltd (GAHL), which is an oil palm plantation holding company incorporated in Singapore.
Carson’s said GAHL has negotiated with Standard Chartered Bank Singapore (SCB) to refinance the existing term loan facility outstanding of US$ 81 million obtained by PTAI and PTAB, a revolving credit facility of US$ 10 million and a further term loan facility of US$ 109 million for further expansion of the current plantation projects. This facility would be made inter available for all such plantation projects undertaken by the GAHL group, with a part of the facility being drawn down by PTAI and PTAB.
The above credit line from SCB has been secured by GAHL together with its group plantation companies incorporated in Indonesia and in Malaysia, the company said in a press release.
In addition to the above securities being provided, SCB has requested for additional securities from Indo Malay PLC and Selinsing PLC by mortgaging their respective properties in Malaysia, the contingent liability on the security to be so provided would e limited to the value of the properties charged by the above two companies.
“Further, as an internal arrangement to ensure equitability amongst the four Malaysian plantation companies, Indo Malay along with the other Malaysian plantation companies would be counter guaranteeing the combined liability that would crystalise in the event of a claim on the properties being mortgaged by Selinsing PLC and Indo Malay, in a manner that the ultimate net liability to be incurred would be equally shared between the four Malaysian plantation companies,” the statement added.
It said by virtue of the requirements of the Companies Act No. 7 of 2007, the proposed charge by Indo Malay would be regarded as a major transaction, whereby the value of the charge being created is more than half of the value of the assets of the compan as per the books of account at the time of the creation of the charge. |
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