INTRODUCTION
Bina Darulaman Berhad ("BDB or the Company") is pleased
to announce that on 22 February 2010, its wholly owned subsidiary,
Kedah Sato Sdn Bhd (KSSB), had accepted a Syndicated Islamic
financing facility based on the Syariah contract/principle
of Bai Inah of up to RM330 million from Bank Islam Malaysia
Berhad (BIMB) and Affin Islamic Bank Berhad (AIBB) (the
financiers). The facility is for the purpose of financing
the total construction and development costs of the permanent
campus of Kolej Universiti Insaniah, Kuala Ketil, Kedah
(KUIN) which will be carried out under a design and build
deferred payment contract.
SALIENT
TERMS OF THE LETTER OF OFFER
Among the salient terms of BIMB and AIBB Letter of Offer
dated 09/02/2010 are as follows :-
|
a)
Lead Arranger |
Bank
Islam Malaysia Berhad
|
|
b)
Co-Arranger : |
Affin
Islamic Bank Berhad
|
|
c)
Amount : |
RM330.0
million
|
|
d)
Facility : |
Syndicated
Islamic financing facility based on the Shariah
contract/principle of Bai Inah
|
|
e)
Participating Financiers : |
i)
Bank Islam Malaysia Berhad – RM200 million
ii)
Affin Islamic Bank Berhad – RM 130 million
|
|
f)
Tenor : |
Up
to 15 years inclusive of the Grace Period of up
to 3 years from the date of first disbursement of
the facility.
|
|
g)
Purpose: |
To
finance the total construction and development costs
of the permanent campus of Kolej Universiti Insaniah,
Kuala Ketil, Kedah. |
CORPORATE
GUARANTEE
BDB
as a parent company is required to issue a Corporate Guarantee
to the Financiers in relation to the proposed borrowing
and Letter of Undertaking to BIMB as the Security Agent.
FINANCIAL
EFFECT
The
KUIN project which is expected to be completed in 2012 will
be positive for the turnover and profitability of the Group.
DIRECTORS
AND SUBSTANTIAL SHAREHOLDERS INTEREST
Dato’
Paduka Haji Mohd Saad bin Endut and Dato’ Jahubar
Sathik bin Abdul Razak who signed for the facility are common
directors on the boards of BDB and KSSB, and they and other
Directors do not have any interest, direct or indirect in
the aforesaid borrowing.
STATEMENT
BY DIRECTORS
The
Directors of BDB are of the opinion that the borrowing which
is backed by a construction contract with the Kedah State
Government, is in the normal course of the Group’s
business activities and it benefits the Group’s construction
business.