Friday, Oct 20, 2006
Pursuant to the announcement by Puncak Niaga Holdings Berhad’s (“PNHB”), with regards to the proposed cash distribution of up to RM767.84 million to its shareholders, MARC views that the proposal will have no adverse impact on the current rating of A (A Flat) on PNHB’s RM546.875 million Redeemable Unconvertible Junior Notes (“RUNs”) with detachable warrants.
MARC is of the opinion that there will be no disruption to the repayment schedule of the RUNs since its source of repayment is from the back-to-back arrangement with the A Notes issued at subsidiary level, Puncak Niaga (M) Sdn Bhd, which is also currently rated at A Flat.