PETALING JAYA: Bumi Armada Bhd
’s unit Armada Kraken Pte Ltd has bagged a syndicated term-loan facility and a standby letter of credit facility worth US$755mil (RM2.88bil).
The company said in a filing with Bursa Malaysia that the loan facility was to partially finance and reimburse costs and expenses, including conversion, refurbishment, mobilisation, transportation, hook-up, mooring and installation of the Armada Kraken floating production, storage and offloading vessel (FPSO), together with all ancillary and related works pursuant to the bareboat charter.
Armada Kraken’s principal activities apart from being ship ownership, charterers, managers of ships and vessels, include providing marine support and services to offshore oil and gas companies.
It said the facility was not expected to have any effect on Bumi Armada’s isued and paid-up capital or the substantial shareholders’ shareholdings in the company.
The oil and gas services firm that has a market capitalisation of RM6.5bil said it would incur finance costs in respect of the facility.
