1MDB subsidiary repays RM950m loan to govt

The cost of insuring Malaysia

KUALA LUMPUR: 1Malaysia Development Bhd's subsidiary, Plenitude Mentari Sdn Bhd, has repaid the RM950mil standby credit facility provided by the government of Malaysia.

It said on Friday Plenitude Mentari paid in full all the principal and interest to the government, which is its 100% shareholder.

This facility was inked on Feb 27, 2015, further to the strategic review announced on Feb 18 that year as a direct response to the cash-flow mismatch faced by the company.
 
“The standby credit facility helped to stabilise the company, at a time when it was under severe attack from multiple parties and had no other financing options. 

“With the stability, 1MDB and MoF Inc were then able to develop and implement the rationalisation plan, the success of which has resulted in the standby credit facility being repaid in full,” it said.