SERBA DINAMIK CLARIFIES IT HAS 30-DAY PERIOD TO PAY COUPON PAYMENT FOR US$300M SUKUK

KUALA LUMPUR, Nov 12  -- Serba Dinamik Holdings Bhd has clarified that it has a 30-day period from the non-payment due date to cure and pay the overdue coupon obligations before triggering any dissolution event.

Responding to an article titled “Serba Dinamik misses coupon payment for US$300m sukuk” published by a local financial daily on Thursday, the oil and gas company denied the amount of payment due as stated in the article, maintaining that the coupon payment due was approximately US$7.0 million and not US$9.45 million (US$1=RM4.17).

The coupon payment for the three-year, US dollar-denominated sukuk was due on Nov 9.

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Serba Dinamik extends its guarantee that it has no intention to default on the coupon payment and is taking all necessary steps to remedy the matter within the stipulated timeline.

“Serba Dinamik has engaged and sought advice from our legal counsel, as well as wrote in to a sukuk agent to notify the sukuk holders on the correct amount due.

“We wish to highlight that, under the terms of agreement, Serba Dinamik has a 30-day period from the non-payment due date to cure and pay the overdue coupon obligations before triggering any dissolution event,” it said.

The tranche of bonds will mature in six months on May 9, 2022.

Serba Dinamik assures that the group is committed to fulfil the said payment subject to receipt from its customers.

It is also proactively engaging all stakeholders to provide timely updates and clarifications as and when required.

Shares of Serba Dinamik was last traded on Oct 22 at 35 sen, with market capitalisation of  RM1.3 billion.

Separately, Serba Dinamik said it attended the hearing of the injunction application against Bursa Malaysia Securities Bhd on Nov 11.

“The High Court had fixed the hearing of the application for injunction in the proceeding against EY Consulting (as described in the company’s announcement dated Nov 10) together with the proceeding herein,” it said in response to Bursa Malaysia’s query today.

The company applied orally for an adjournment of the hearing of the injunction application as it was served with a copy of affidavits in reply from Bursa Malaysia and Ernst & Young Consulting Sdn Bhd (EY Consulting) on Nov 10 and 11, respectively.

The High Court allowed its oral application and fixed the hearing of the injunction application together with the originating summons (OS) on Dec 8. The company further applied for an ad-interim injunction to be granted pending the disposal of the injunction application.

To recap, Serba Dinamik filed an OS at the Kuala Lumpur High Court against Bursa Malaysia on Nov 3 and against EY Consulting on Nov 5.

Shares of Serba Dinamik was last traded on Oct 22 at 35 sen, with market capitalisation of RM1.3 billion.

-- BERNAMA