Genting said the notes carry an interest rate of 1.8% plus three-month KL interbank offer rate.
PETALING JAYA: Genting Bhd
’s wholly-owned subsidiary Genting Vista Bhd has raised RM3bil from the issuance of unrated medium-term notes (MTN) at par value with a tenure of one to five years.
The Series 1 MTN issuance is part of its RM5bil MTN programme guaranteed by Genting.
In a filing with Bursa Malaysia, Genting stated that the notes carry an interest rate of 1.8% plus three-month KL interbank offer rate.
The proceeds raised from the latest MTN issuance shall be utilised to redeem the MTN issued by Genting RMTN Bhd, a wholly-owned subsidiary of Genting, which was utilised to part finance the acquisition of ordinary shares in Genting Malaysia Bhd pursuant to the takeover offer by Genting.
Genting added that Genting RMTN had fully redeemed the aggregate RM3bil nominal value of MTN it had issued in November and December this year.
Affin Hwang Investment Bank Bhd and AmInvestment Bank Bhd were the lead managers for the latest MTN issuance.
The issuance comes as S&P Global Ratings recently warned that Genting group’s elevated spending and risk appetite over the next two to three years will test its credit quality.
The rating agency noted the group’s total capital expenditure (capex) in 2026 will be double the RM6bil spent in 2025 and much higher than the RM4.3bil in 2024.
It expected Genting group’s capex to remain above RM8bil annually through 2030.
The capex will include Genting New York LLC’s spending after it secured a full New York gaming licence, as well as Genting Singapore Ltd’s Resorts World Sentosa expansion and Genting Energy Ltd’s investments in a floating liquefied natural gas (FLNG) facility.
S&P added that spending related to the New York licence facility will on average account for close to 30% of the group’s total annual capex over the next two to three years and cover payments for the licence fee, renovation of existing facilities, and building of new ones.
The rejuvenation of Resorts World Sentosa in Singapore through 2030, along with investments in the FLNG facility in Indonesia until 2027, will all materially contribute to the group’s capex.
