(Alliance News) - Equatorial Palm Oil PLC said Thursday LK Agro Plantations Pte Ltd, a wholly owned subsidiary of Kuala Lumpur Kepong Berhad agreed to extend the maturity of USD50.5 million of outstanding loans to Equatorial Palm Oil's 50% owned joint venture company, Liberian Palm Developments Ltd.
The extended loan comprises loans of USD20.5 million, which was agreed in early 2015, and USD30.0 million, agreed in September 2016. Both of these loans have been fully drawn down, Equatorial Palm Oil said, and were due to mature on January 25 2020.
The extended loans are now repayable on September 30 2032. The interest accrue interest at 3-month USD Libor rate plus 5% per annum.
The separate loans agreed between the two, agreed in 2017 and 2019, are unaffected by this new loan extension and remain payable in 2022 and May 2024, respectively.
Shares in Equatorial Palm Oil were untraded in London on Thursday, last closed at 0.90 pence each.
By Paul McGowan; paulmcgowan@alliancenews.com
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