KUALA LUMPUR, March 10 — Capital A Bhd said it will not be proceeding with the RM500 million club facility secured recently as it is unable to accept certain conditions.
Following this, it is exploring other available debt financing alternatives with acceptable terms suitable to the operations and financing requirements of the company, it said in a filing with Bursa Malaysia today.
On October 5, 2021, AirAsia Group Bhd (AAGB) received approval from Danajamin Nasional Bhd for an 80 per cent guaranteed loan of up to RM500 million under the Danajamin Prihatin Guarantee Scheme.
The scheme is part of Malaysia’s economic stimulus package following the unprecedented outbreak of Covid-19.
Capital A said the condition is on Security: Joint and Several Guarantee from Tan Sri Anthony Francis Fernandes and Datuk Kamarudin Meranun.
Under Conditions Precedent: AAGB is needed to submit and Bursa Malaysia Bhd to approve the regularisation plan pursuant to Paragraph 8.05 and Paragraph 2.1(a) of Practice Note 17 (PN17) of the Main Market Listing Requirements.
It is currently under extension relief period for AAGB to remedy its consolidated shareholder equity to be above RM40 million and 25 per cent of share capital or for the group to obtain a time extension to provide the regularisation plan for the matching tenure of the club facility. — Bernama
