Annual Report
2015
|
DAYANG ENTERPRISE HOLDINGS BHD
(712243-U)
109
17. Loans and borrowings (cont’d)
17.1 Commodity Murabahah Financing - I
A subsidiary of the Group had accepted a term loan facility denominated in United States Dollar
(USD) with a nominal value of USD20,000,000 (equivalent to RM70,030,000) in last year.
This term loan is subject to floating interest rate and is being hedged via an interest rate swap as
disclosed in Note 18 to the financial statements.
17.2 Term Loans
The term loans are secured by:
(i)
fixed charge over all subsidiary’s unencumbered shares and warrants acquired;
(ii) first legal charge and assignment over all present and future rights of the Company on
Designated Accounts and all monies standing to the credit of the Designated Accounts;
(iii) fixed charge over certain vessels of the group (see Note 3);
(iv) fixed charge over the shares of a subsidiary;
(v) fixed charge over Escrow Accounts;
(vi) assignment and charges over insurance proceeds and revenue of certain vessels of the
Group; and
(vii) security deposits placed in Retention Accounts (see Note 8).
17.3 Significant covenants on loans and borrowings
The Group is subject to the following significant loan covenants on loans and borrowings:
(i)
debt equity ratio not exceeding 1.75 times;
(ii) debt service coverage ratio of at least 1.25 times;
As at the reporting date, the subsidiary of the Group has breached certain covenants of two term
loans with total carrying amount of RM172.3 million.
As a result, the non-current portions of these term loans of RM133.4 million have been reclassified to
current as at the reporting date.
17.4 Finance lease liabilities
Finance lease liabilities are payable as follows:
2015
Present
Future
value of
minimum
minimum
lease
lease
payments
Interest
payments
RM
RM
RM
Less than one year
53,883,715 26,030,021 27,853,694
Between one and five years
318,519,464 42,983,664 275,535,800
372,403,179 69,013,685 303,389,494
Notes to the
Financial Statements
(cont’d)
