SEB’s joint ven­ture seeks fi­nan­cial aid of up to US$550m

Nylex con­firms group MD held by MACC

The Star Malaysia - StarBiz - - News -

KUALA LUMPUR: Seb Up­stream Sdn Bhd (SUP), a joint ven­ture (JV) com­pany be­tween Sa­pura En­ergy Bhd (SEB) and OMV Ak­tienge­sellschaft (OMV AG), is seek­ing fi­nan­cial as­sis­tance of be­tween US$350mil and US$550mil.

In a fil­ing with Bursa Malaysia yes­ter­day, SEB said US$350mil of the pro­ceeds would be used to par­tially re­pay the amount owed by Sa­pura Up­stream Sdn Bhd (SUSB) Group to SEB Group which amounted to US$890mil as set out in the sub­scrip­tion agree­ment.

“The re­main­ing, if any, will be used for the work­ing cap­i­tal of SUP Group,” it said.

It added that SEB Group may also be re­quired to pro­vide cor­po­rate guar­an­tees, un­der­tak­ings and/or se­cu­ri­ties for 50% of the fi­nanc­ing fa­cil­i­ties to be ob­tained by SUP group.

On Nov 9, 2018, SEB formed the JV with Aus­tria-listed in­dus­trial com­pany OMV AG, through which it would raise up to US$975mil in pro­ceeds, of which about US$720mil would be used to re­pay SEB Group’s debt.

Un­der the agree­ments inked on Nov 9, SEB would is­sue new shares amount­ing to 50% of the en­larged is­sued share cap­i­tal of the newly-formed com­pany, SUP, which will hold the en­tire stake in SUSB, to OMV AG’s wholly-owned sub­sidiary OMV Ex­plo­ration and Pro­duc­tion GmbH for US$625mil.

SEB will also re­ceive US$350mil from SUSB Group as re­pay­ment of the out­stand­ing amount to SEB and its sub­sidiaries. — Ber­nama PETALING JAYA: Nylex (Malaysia) Bhd has con­firmed that its group man­ag­ing di­rec­tor, Datuk Siew Ka Wei (pic), was held by the Malaysian Anti-Cor­rup­tion Com­mis­sion (MACC), but that its op­er­a­tions re­main un­af­fected.

The MACC yes­ter­day granted a four-day re­mand or­der in­volv­ing Siew to help in its probe dur­ing his ten­ure as chair­man of the Tourism Board of Malaysia.

In a sep­a­rate state­ment, An­com Bhd said its op­er­a­tions were un­af­fected fol­low­ing the ar­rest and re­mand of Siew, who is its ex­ec­u­tive chair­man.

Nylex and An­com con­vened emer­gency board meet­ings in the af­ter­noon to as­sess the im­pli­ca­tions of the ar­rest on the groups’ op­er­a­tions, their share­hold­ers and other stake­hold­ers who may be af­fected di­rectly and in­di­rectly and to de­ter­mine the pos­si­ble course of ac­tion to be taken.

In the state­ments to Bursa Malaysia, the com­pa­nies in­formed the share­hold­ers and other stake­hold­ers that their op­er­a­tions re­mained un­af­fected.

They also said the groups’ var­i­ous op­er­at­ing units have been and are un­der the care of the var­i­ous unit heads with proven track records. Nylex and An­com’s share price closed down two sen each to 63 sen and 47 sen, re­spec­tively.

Newspapers in English

Newspapers from Malaysia

© PressReader. All rights reserved.