General Announcement
09/09/2005PRIMARY COLLATERISED LOAN OBLIGATIONS PROGRAMME
| RCE CAPITAL BERHAD |
|
Type | Announcement |
| Subject | PRIMARY COLLATERISED LOAN OBLIGATIONS PROGRAMME |
Contents :
The Board of Directors of RCE Capital Berhad ("the Company") is pleased to announce the following:-
1. INTRODUCTION
- RCE Marketing Sdn Bhd ( RCEM ), a subsidiary of the Company, has on 9 September 2005 signed a Facility Agreement with EON Bank Berhad as Lender and CapOne Berhad for an unsecured fixed rate term loan facility of up to RM40,000,000.00 ( Facility ).
The Facility is obtained under a RM1,000,000,000.00 Primary Collateralised Loan Obligations Programme arranged by Malaysian International Merchant Bankers Berhad.
2. SALIENT FEATURES OF THE FACILITY AGREEMENT
2.1 Availability Period
- The Facility will be made available to RCEM within 3 months from the date of the Facility Agreement.
2.2 Tenure
- The Facility is for a tenure of 5 years commencing from the date of the drawdown of the Facility.
2.3 Repayment of Principal
- The entire principal sum of the Facility will be repaid at the end of the tenure of the Facility.
2.4 Special Condition
- RCEM shall subscribe to the Subordinated Bonds to be issued by CapOne Berhad of up to 10% of the principal loan drawndown (i.e. up to RM4,000,000.00).
The terms of the Subordinated Bonds are as follows:-
Size : RM100,000,000.00
Tenure : 5 years and 2 days
Coupon : Variable rate
Rating : BBB
Subordination : Rank subsequent in priority to RM850,000,000.00 Senior
- Bonds and RM50,000,000.00 Mezzanine Bonds
- The Facility will be utilised for RCEM's working capital purposes.
4. FINANCIAL EFFECTS
- The Facility will not have any material impact on the net tangible assets, the earnings and share capital of the Company for the financial year ending 31 March 2006.
5. DIRECTORS AND SUBSTANTIAL SHAREHOLDERS INTEREST
- None of the Directors and/or substantial shareholders of the Company and persons connected to them have any interest, direct or indirect, in the Facility.
6. DIRECTORS RECOMMENDATION
- The Board of Directors of the Company, having considered the rationale as indicated above as well as the terms and conditions of the Facility Agreement, is of the opinion that the acceptance of the Facility by RCEM is beneficial to the Company.
7. APPROVAL REQUIRED
- No approvals are required for the Facility or the subscription of the Subordinated Bonds.
8. DOCUMENT FOR INSPECTION
- The Facility Agreement is available for inspection at the Registered Office of the Company situated at 7th Floor, Wisma Tan Kim San, No. 518A, 3rd Mile, Jalan Ipoh, 51200 Kuala Lumpur from Mondays to Fridays (except public holidays) during business hours.
This announcement is dated 9 September 2005.
Announcement Info
| Company Name | RCE CAPITAL BERHAD |
| Stock Name | RCECAP |
| Date Announced | 9 Sept 2005 |
| Category | General Announcement |
| Reference No | CU-050907-63785 |
Related Announcements for RCECAP