|Laman Webantu KM2A1: 2438 File Size: 2.2 Kb *|
Mirzan's Dataprep bailout - Bloomberg
By web aNtu
1/7/2000 2:43 pm Sat
Pandai betul kroni berniaga - tengok apa dah jadi kat Dataprep...
Subject: Bail Out
Dataprep seeks govt help to resolve RM64m debt
DATAPREP Holdings Bhd, controlled by the elder (sic!) son of Malaysian
Prime Minister Mahathir Mohamad, is seeking help from the government to
push a plan to repay RM64 million ringgit (S$29.2 million) of debt.
Mr Mirzan: chairman and CEO of Dataprep
The step could bolster Dataprep's efforts to win approval from creditors
for a plan unveiled in January. The plan aims to help the company, hurt
by the 1998 recession and rising competition, out of its financial
predicament. With the exception of fiscal 1999, it has lost money every
year since 1996.
Shares of Dataprep, which trade on the smaller Kuala Lumpur Second
Board, rose as much as 8 sen, or 3.1 per cent, to RM2.68 yesterday. It
was its second day of gains.
Dataprep's debt plan includes halving its shares outstanding and selling
40 million new shares as well as 15.1 million new warrants to
closely-held VXL Holdings Sdn to raise RM53 million.
The proposal also includes a debt waiver of 30 per cent of the principal
amount of unsecured debt as of Dec 31, 1999. The company also wants all
accrued interest, penalty charges and future interest waived.
In March, it told the Securities Commission, the nation's securities regulator, that it had deferred submitting its debt plan to the regulator as it hadn't received approval from creditor banks. The company said it would submit the proposal before July 13. -- Bloomberg