S P Setia, Sime Darby, EPF secure RM4b for Battersea project


Tan Sri Liew Kee Sin says Battersea Power Station is set to re-emerge as a different type of powerhouse altogether.

KUALA LUMPUR: The Malaysian consortium comprising of S P Setia Bhd, Sime Darby Property and the Employees Provident Fund has secured £790.2mil or RM4bil for the development and land refinancing loan for the Battersea Power Station in the UK.

A joint statement released on Monday said the facility was arranged with a group of international banks led by CIMB Bhd, as the coordinating mandated lead arranger and book runner, with OCBC, Standard Chartered and Malayan Banking Bhd as joint mandated arrangers.        

It said that £532mil of the facility would be for phase one of the development of the power station over the next three and a half years while the £258.2mil land facility which would be used to refinance the initial loan used to fund the acquisition of the site over a longer period of five years.

To recap, Phase 1 of Battersea Power Station, launched in January 2013, has since seen a 99% take-up rate fpr the residential units.  Named Circus West at Battersea Power Station, work started on Phase 1 in July after the award-winning British firm, Carillon, won the contract. The funding package would also support the refurbishment of the Power Station itself which would be Phase 2 of the project.

This includes the reconstruction of the chimneys to the original designs, which would begin next year.

Meanwhile, Bernama reported Battersea Project Holding Company Ltd chairman Tan Sri Liew Kee Sin as saying: “We’re are delighted that our bankers, who have worked with us for many years in Malaysia, have come out so strongly to support our efforts to revitalise the Battersea Power station in the United Kingdom,”

“With the £790.2mil loan now secured, Battersea Power Station is set to re-emerge as a different type of powerhouse altogether,” Liew said.

He added instead of coal-fired power, it would have vibrant residential, commercial and entertainment offers to generate a new energetic, creative and cultural district for London, in keeping with its iconic status.

Meanwhile, group chief executive of CIMB Group Datuk Seri Nazir Razak said Monday's event was a historic syndication exercise.

”The Battersea Power Station also happens to be a historic site by the Thames river, so this project would be transformative for London as a city too. I am glad that it is progressing extremely well with a near sell-out of Phase 1,” he added.

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