PETALING JAYA: Sime Darby Property Bhd
(SDP), via its wholly-owned subsidiary, Sime Darby Property (Hong Kong) Ltd (SDPHK) has entered into an interest bearing loan agreement to provide shareholders’ advances of £10mil (RM58mil) to Battersea Project Holding Co Ltd (BPHCL).
BPHCL is a joint venture where SDPHK owns a 40% equity interest. BPHCL is the holding company for the Battersea Power Station development in London, United Kingdom (UK).
In a filing with Bursa Malaysia, SDP said the shareholders’ advances will be used to fund BPHCL’s future phases of the Battersea Power Station development.
“The shareholders’ advances have a tenure of five years. Interest shall be charged based on Sterling Overnight Index Average rate plus 1.50% per annum.”
SDP said the shareholders’ advances will be funded via the company’s existing financing facilities.
“The board of directors of the company does not envisage any specific risks associated with the provision of financial assistance, apart from the general business risks faced by BPHCL in relation to the property development business in the UK.”
