KUALA LUMPUR: Bintai Kinden Corp Bhd has sealed a deal with Windsor Serdang Sdn Bhd (WSSB) to wipe out all pending debts from Serdang Baru Properties Sdn Bhd (SBPSB) that are owed to Kejuruteraan Bintai Kindenko Sdn Bhd (KBKSB), a part of Bintai Kinden.
The mechanical and electrical (M&E) engineering services specialist said WSSB has agreed to make a first payment of RM3mil by Sept 13, to a stakeholder who is irrevocably authorised to release to KBKSB subject to certain conditions being fulfilled.
Following this, WSSB will pay an additional RM20.5mil plus another RM500,000 to cover legal costs, within the next eight months.
The PN17 company said all of this is detailed in an agreement that will be finalised soon.
“This agreement is more than a financial transaction; it's a pivotal milestone in Bintai Kinden’s journey towards greater financial stability and growth. By addressing this long-standing debt issue, we're not just balancing the books — we're also building a stronger foundation for future opportunities and value creation for our shareholders. It is essential the first of many steps to be uplifted from our PN17 classification,” Bintai Kinden managing director Datuk Tay Chor Han said in a statement.
Meanwhile, Axbena Sdn Bhd has filed a notice of discontinuance in respect of the Writ of Summons against Bintai Kinden’s subsidiary, Johnson Medical International Sdn Bhd (JMI) for liquidated and ascertained damages of RM27.7mil with no cost and without liberty to file afresh.
Concurrently, JMI has given notice to withdraw the adjudication process to claim for non-payment of progress claims, retention sum, maintenance charge and interest incurred for total amount of RM1.73mil against Axbena as part of the amicable settlement.
“Both debt settlements come at a strategic time for Bintai Kinden as we navigate the complexities of an evolving marketplace. By removing this financial burden, we are freed to aggressively pursue new opportunities and invest in our existing lines of business. This fortifies our current position and provides the liquidity needed to capitalise on future growth avenues.
“In short, this is not merely a financial manoeuvre; it's a transformative step that paves the way for Bintai Kinden's next chapter of growth and value creation,” it said.