PETALING JAYA: Cypark Resources Bhd (CRB) remains firmly committed to the delivery of its 270 megawatt solar projects in Kelantan and Terengganu.
As such, the company has taken the decision to defer a March 4, 2024 profit payment on its perpetual sukuk to prioritise funds for the completion of the projects in the second quarter of 2024.
The company deferred a coupon payment due on Monday for its subsidiary Cypark Renewable Energy Sdn Bhd, under a RM500 million musharakah-based perpetual sukuk programme that it set up to finance four solar power plant projects.
“The deferment, allowable by the terms of the perpetual sukuk, is a strategic decision as part of CRB’s debt optimisation in aligning facilities against long-term concession assets. The sukuk remains secure as it takes 95% cash sweeps from revenue generated, amounting to RM86.5mil currently.”
CRB said it has sufficient cash flow to achieve cash on delivery of its ongoing projects, following the support by its major shareholder via a RM265mil sukuk in the fourth quarter of 2023, as well as available banking facilities from its principal bankers.
RHB Investment Bank is the principal adviser and lead arranger for all three tranches of the unrated Perpetual Sukuk Musharakah Programme of up to RM500mil issued in 2020 and 2023.