IGB, Southkey City to raise RM1b for JB mall

PETALING JAYA: IGB Corp Bhd, together with its joint venture partner Southkey City Sdn Bhd, are raising up to RM1 billion to fund the construction of Mid Valley Megamall in Southkey, Johor Baru.

In a filing with the stock exchange, IGB said the joint venture company Southkey Megamall Sdn Bhd will issue medium-term notes of up to RM1 billion for the fund raising exercise.

Hong Leong Investment Bank Bhd (HLIB) and Maybank Investment Bank Bhd (Maybank IB) have been appointed as joint principal advisers, as well as HLIB, Maybank IB and RHB Investment Bank Bhd as joint lead arrangers and managers for the medium-term notes programme.

The shopping mall forms part of the larger RM6 billion integrated mixed use development by Southkey Megamall which will comprise three hotels, four office towers and one serviced apartment.

Once completed, Mid Valley Megamall, Southkey will have an estimated net lettable area of 140,000 sq m, with 400 retailers including anchor tenants and 6,000 parking bays. It will also be one of the largest malls in Johor.

The shopping mall consists of six levels of retail, two levels of basement (parking) and eight levels of elevated parking bays.