Dec 17, 2011

Malaysia - Danajamin guarantees Riverson’s RM200 mln bond programme



KUCHING: Danajamin Nasional Bhd (Danajamin) announced the issuance of the first tranche of Riverson Corporation Sdn Bhd (Riverson) five-year RM200 million Private Debt Securities programme, which is guaranteed by Danajamin.

Rated ‘AAA(fg)’, the issuance amounting to RM50 million with a three-year maturity was fully subscribed, it said in a press release yesterday. The issuance marked Riverson’s maiden foray into the bond market. Hong Leong Investment Bank Bhd is the lead arranger for the bond programme.

Riverson, a developer based in Sabah, would be using the funds raised to finance the construction of its mixed integrated commercial development project in Kota Kinabalu.

The proposed development consisted of an international standard purpose built medical center that would be operated by Parkway Holdings (Parkway) under the name of Gleneagles Medical Centre, Kota Kinabalu.

Parkway, whose controlling shareholder is Khazanah Nasional Bhd, is a leading private healthcare group in Asia. The hospital in Sabah would be its first in East Malaysia.

With the issuance of the bonds by Riverson yesterday, Danajamin has provided guarantees for RM3.9 billion bond programmes from various sectors including plantation, utilities, education, retail and manufacturing.



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