26. BORROWINGS (CONTINUED)
(i) Islamic Commercial Papers/Islamic Medium Term Notes (“ICP/IMTN”)
Salient features of the ICP/IMTN are as follows:
(1) Total outstanding nominal value of ICPs and IMTNs (collectively known as “Notes”) shall not exceed RM500 million.
(2) The tenure of the Facility is up to 7 years from date of the first issuance of any Notes (25 April 2011) under the
Facility.
(3) ICP has a maturity subject to the management tenure, either 1, 2, 3, 6, 9 and 12 months and are mandatorily
redeemed at nominal value upon maturity date which is expired on 16 November 2014.
(4) IMTN has a maturity of 1 year but not more than 7 years and on condition that the IMTN shall not mature beyond
the expiry of the tenure of the Facility. The IMTN shall be mandatorily redeemed at nominal value upon maturity
date. The interest for the IMTN shall be payable semi-annually upon maturity of IMTN.
(5) The ICP/IMTN Facility is issued on a clean basis and shall be fully repaid at the end of the tenure of the Facility.
(6) The ICP/IMTN Facility was secured by Memorandum of charge over designated account identified as Finance Service
Reserve Account (“FSRA”) and Corporate Guarantee Agreement was issued by the holding company in favour of the
appointed trustee (known as “Security Trustee”).
In the prior year, the ICP/IMTN used the Group’s investment in its associate, AL-’Aqar Healthcare REIT amounting to
RM234,963,962 as underlying assets as required under the Islamic Facilities requirement.
The proceeds which were raised from the ICP issue during the financial year have been utilised by the Company in the
following manner:
2014
2013
ICP/IMTN
RM’0
RM’000
RM’000
At 1 January
499,000
349,000
Full settlement of the ICP outstanding
(499,000)
–
Issued during the financial year for working capital
–
150,000
At 31 December
–
499,000
The ICP/IMTN was fully settled and cancelled on 16 November 2014.
(ii) Bridging loan
The bridging loan facility of a subsidiary was obtained from a local financial institution which bear an interest rate of
5.15% per annum. It was secured with a Corporate Guarantee given by the Company.
The facility was obtained on a short term basis to refinance the outstanding amount under the existing ICP/IMTN of
RM499 million.
271
Notes to the
Financial Statements
For the financial year ended 31 December 2014 (continued)
KPJ Healthcare Berhad annual report
2014
