Press Release

Date: 
09-05-2016
1MDB starts US dollar bondholder outreach and engagement process
1MDB starts US dollar bondholder outreach and engagement process

1MDB STARTS US DOLLAR BONDHOLDER OUTREACH AND ENGAGEMENT PROCESS

1Malaysia Development Berhad (“1MDB”) has started an engagement process for its USD denominated bondholders (“Holders”) following the default on the USD1.75 billion 1MDB Energy (Langat) Limited (“Langat Notes”) fixed rate 5.75% notes due 2022.

To oversee and manage the engagement process, 1MDB has appointed Alvarez & Marsal Asia Ltd (“A&M”) as its financial advisor. 1MDB has also hired D.F. King Ltd, an Orient Capital company (“D.F. King”, or the “Identification and Information Agent”) to directly carry out the bondholder identification and registration process.

D.F. King will identify and register bondholders of the following notes:

 

ISIN

Coupon %

Maturity

Currency

Amount Out.

XS0784926270

5.99

2022

USD

1,750,000,000

XS0829573913

5.75

2022

USD

1,750,000,000

XS0907172513

4.4

2023

USD

3,000,000,000

XS0906085179

 

1MDB will now actively engage with all Holders in order to outline the next steps of the process; explain the background of the dispute; clarify why 1MDB has taken the position to not make the interest payment on the Langat Notes; and reiterate that 1MDB has a rationalisation plan in place that enables the company to meet its existing debt obligations.

1MDB has today also requested D.F. King to launch a microsite at http://sites.dfkingltd.com/1MDB, which contains all relevant information and will include regular updates for bondholders. Once registered, registrants will be able to submit questions online through the website.

Furthermore, a call for all USD denominated bondholders will take place on 23 May. Further details will follow.

1MDB wishes to underline that it is committed to working openly with International Petroleum Investment Company (“IPIC”) to resolve the dispute.

1MDB welcomes dialogue with all Holders and therefore requests them to disclose their identities and holdings to D.F. King via one of the two options, below:

  1. provide the information to D.F. King via their custodian bank to Euroclear or Clearstream, Luxembourg (as appropriate) by means of the disclosure event in place by no later than deadline imposed by  Euroclear or Clearstream; or
  2. provide the information directly to D.F. King via the website at: http://sites.dfkingltd.com/1MDB  

1MDB undertakes that all information received will be treated in the strictest confidence and will be used solely for the purposes of the 1MDB and its advisers.

 

In Hong Kong

Ken Abela
+852 3953 7230

In London

Laurent Muzard
+44 20 7920 9700

[email protected]

http://sites.dfkingltd.com/1MDB