DIGISTAR TO REFURBISH IMPERIAL HERITAGE
Company plans to use funds from proposed RM80m bond sale
DIGISTAR Corp Bhd wants to use RM38 million from a proposed RM80 million bond sale to upgrade its hotel operations and redeem loan of Seni Pujaan Sdn Bhd, i ts whollyowned unit.
Digistar is in the business of broadcast engineering, telecommunication, information technology and electronic commerce.
The proposed bond issuance by another wholly-owned unit, Jaya Persada Sdn Bhd, will be for up to 14 years and over three tranches. It will be unrated, transferable and tradable.
Digistar has mandated MIDF Amanah Investment Bank Bhd to act as the principal adviser, lead arranger and lead manager for the proposed bond issuance and Pacific Alliance Capital Sdn Bhd as the corporate management consultant.
In its filing to Bursa Malaysia yesterday, Digistar said RM30 million would go to finance the expansion and refurbishment of Imperial Heritage Hotel, while another RM8 million would be used to redeem Seni Pujaan’s existing loan secured over the master title to the hotel.
The company said the hotel’s expansion and refurbishment included “but not limited to refurbishment of hotel suites, design and construction of a banquet hall and other enhancements for the hotel and other hospitality and related assets managed by Seni Pujaan as part of the hotel’s overall operations”.
Meanwhile, Digistar said it had earmarked RM16.03 million to finance its business expansion, which included its “mobile business and business and acquisitions related to its core business”.