1MDB confirms second interest payment on Bandar Malaysia sukuk

PETALING JAYA: 1Malaysia Development Bhd (1MDB) has paid the RM1.579 million interest coupon on the RM2.4 billion Bandar Malaysia sukuk due in 2024 on June 29, 2016.

1MDB confirmed the payment when contacted by Bernama yesterday.

This is the second interest payment made by 1MDB since its dispute with the Abu Dhabi’s state-owned investor, International Petroleum Investment Co.

The first payment was in May, when 1MDB made a scheduled coupon payment amounting to RM143.75 million on its RM5 billion 5.75% Islamic medium-term notes due 2039.

The two payments strongly indicated that the company had ample liquidity to make interest payments and service its current debt obligations despite all the noises created. They also underscored the company’s commitment to debt obligations.

“1MDB reiterates that, notwithstanding the dispute with IPIC, it will continue to honour current debt obligations,” 1MDB president Arul Kanda Kandasamy said.

He said 1MDB remained focused on resolving the dispute with IPIC and was committed to a continued process of dialogue and working towards a solution that was in the best interest of all stakeholders. – Bernama