Sapura Energy seals RM10.3bil debt refinancing

KUALA LUMPUR: Sapura Energy Bhd has secured a RM10.3 billion debt refinancing over seven years through its wholly-owned Sapura TMC Sdn Bhd.

Sapura Energy today said Sapura TMC had executed multi-currency financing facilities agreements to refinance its existing borrowings.

The facilities were signed with a consortium of Malaysian, regional and international banks, Sapura Energy said in a statement.

The refinancing includes a conventional facility agreement and a further issuance of unrated Sukuk Murabahah under the multi-currency sukuk programme announced in 2015.

“The planned refinancing is part of the group’s capital management program to lengthen the maturity of its debt. The refinancing exercise and previously announced RM1.2 billion working capital provides us timely financial headroom in a recovering energy market,” said Sapura Energy group chief executive officer Datuk Mohd Anuar Taib.

“This will allow us to continue our track record of winning new oil and gas contracts, and explore emerging opportunities in the renewable energy sector.”

The facilities were coordinated by Malayan Banking Bhd (Maybank) and CIMB Bank.

Besides Maybank and CIMB, the participating banks were RHB Bank Bhd, AmBank Bhd, EXIM Bank Malaysia, United Overseas Bank, ING Bank, Sumitomo Mitsui Banking Corporation, Standard Chartered Bank and First Abu Dhabi Bank.

Anuar said with renewed confidence in its financial strength, Sapura Energy had forged ahead in executing global projects in its current order book.

The group recently announced global contract wins of RM1.85 billion, demonstrating its resilience in capturing opportunities in addressable markets and deliver its promises to clients and stakeholders, he added.

NST