1MDB’s outstanding debt at RM32.2b, total payment amounts to RM40.5b

KUALA LUMPUR : Malaysia Development Bhd (1MDB) still has RM32.3 billion of outstanding debt with four more bonds/sukuk maturing between 2022 and 2039, bringing the total coupon/profit to be paid till maturity to RM40.51 billion.

The two US dollar-denominated bonds are valued at US$3.5 billion (RM14.7 billion) with coupon rates of 5.75 per cent and 5.99 per cent per annum which will mature in 2022.

Foliage partly covers a 1Malaysia Development Berhad (1MDB) billboard at the funds flagship Tun Razak Exchange development in Kuala Lumpur, July 3, 2015. — Reuters pic
Foliage partly covers a 1Malaysia Development Berhad (1MDB) billboard at the funds flagship Tun Razak Exchange development in Kuala Lumpur, July 3, 2015. — Reuters pic

Another with a value of US$3 billion (RM12.6 billion) with a coupon rate of 4.4 per cent per annum matures in 2023 and the last remaining debt, a RM5 billion sukuk with a 5.75 per cent per annum profit rate, with a maturity date of 2039, said 1MDB in a statement here today.

“Total of bonds/sukuk principal and coupon/profit to be paid till maturity are RM40.51 billion. 1MDB will continue its recovery efforts to enable it to pay the bondholders and sukukholders upon maturity of these debt instruments.”

As announced by the Ministry of Finance (MoF) previously, Malaysia has received a cash settlement of US$2.5 billion from Goldman Sachs and that amount has been deposited into the Asset Recovery Trust Account (Trust Account) under the custody of the Accountant General’s Department of Malaysia.null

Recently, 1MDB also successfully reached a settlement with AMMB Holdings Bhd for RM2.83 billion and Deloitte for RM324 million. All proceeds from 1MDB’s asset recovery efforts including any future settlements have been or will be deposited into the Trust Account.

The recovery of 1MDB assets remains a key priority for the 1MDB Board, it siad.

To recap, as part of this process, a special taskforce has been established by the MOF which includes representatives from 1MDB, the Attorney General’s Chambers, the Securities Commission Malaysia, Bank Negara Malaysia, the Royal Malaysian Police Force, the National Anti-Financial Crime Centre, the Malaysian Anti-Corruption Commission and the National Centre for Governance, Integrity and Anti-Corruption.

The recovery process also involves the appointment of legal counsels to assist in1MDB’s civil action and asset recovery efforts. These legal counsels are remunerated based on a pre-agreed time cost, and not based on commission or a percentage of the value of settlements or assets recovered.

BERNAMA / MALAY MAIL

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