Parkson Retail Group Ltd enters into RM1.6bil loan agreement

PETALING JAYA: Parkson Retail Group Ltd (PRGL), a 54.97% owned subsidiary of Parkson Holdings Bhd has entered into a loan agreement in relation to a syndicated loan facility in an aggregate amount of RM1.6il.

The loan is for a term of 36 months commencing from the first drawdown date and will be aimed at refinancing PRGL’s existing loans.

In a filing with Bursa Malaysia, Parkson noted among the terms of the loan included Tan Sri William Cheng Heng Jem and his wife being kept as the single largest ultimate beneficial owner in PRGL. Cheng and his wife hold a 54.97% stake in PRGL.

“In the event that he ceases to be the single largest ultimate beneficial owner of PRGL, all outstanding advances and all interests accumulated thereon, and all or any other sums payable by PRGL under the loan agreement will be declared as immediately due and payable, and the total commitment under the loan agreement will be cancelled,” it said.

The announcement was made on the Stock Exchange of Hong Kong Limited.