Genting Malaysia issuing US$85mln in mid-term notes

Jun 12, 2024 Newsdesk Latest News, Rest of Asia, Top of the deck  

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Genting Malaysia Bhd, part of a conglomerate – Genting Bhd – that invests globally in casinos, announced on Monday that one of its units had issued MYR400 million (US$84.7 million) in medium-term notes.

Funds will go towards operating expenses, capital expenses, investment, refinancing, working capital and/or funding requirements, including to finance the development or redevelopment of the group’s properties, it said in an announcement to Bursa Malaysia.

The notes were issued by GENM Capital Bhd, according to Monday’s filing. The latest fund raising exercise comes after the issuance on May 31 of MYR1.3-billion medium-term notes in aggregate.

Genting Malaysia operates Resorts World Genting, Malaysia’s only licensed casino property. The group also runs casinos in the United States – via associated businesses – and in the Bahamas, the United Kingdom, and Egypt.

One tranche of Monday’s issuance involves MYR300 million under the group’s MYR5.0-billion medium-term notes programme. These notes have a tenure of five years, and a coupon rate of 4.92 percent per annum, payable semi-annually.

The other MYR100-million issuance is part of the company’s MYR3.0-billion medium-term notes programme. This second tranche involves a tenure of 14 years, with a 5.28-percent rate, payable semi-annually.

AmInvestment Bank Bhd and Hong Leong Investment Bank Bhd were the joint lead managers for the latest exercise, stated the parent company.

Genting Malaysia reported first-quarter net profit of just under MYR36.7 million, on revenue that rose by 21.1 percent year-on-year, to just above MYR2.76 billion.

The company has been upgrading its Resorts World Genting complex, Malaysia’s only casino resort. Earlier this year, the firm confirmed the “temporary” closure of the Circus Palace and Hollywood gaming zones, in order to “facilitate improvements” to the property.

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