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October 2008 Syndicated Islamic Term Financing Facility to Raise Funds for the First Aluminium Smelter Plant in Malaysia Kuala Lumpur, 30 October 2008: RHB Islamic Bank Berhad of the RHB Banking Group has successfully structured and lead arranged a Syndicated Islamic Term Financing Facility of up to RM355 Million for Press Metal Sarawak Sdn Bhd (PMS), a subsidiary of Press Metal Berhad (PMB). 
Jamelah Jamaluddin, Managing Director of RHB Islamic Bank Bhd, handing the signed documents to Dato’ Paul Koon, Director of Press Metal Sarawak Sdn Bhd, at the signing ceremony PMS received approval from Sarawak State Development Authority for the development of a comprehensive aluminium smelting plant and related industries in end May 2007. A land measuring approximately 366 hectares or 905 acres in Mukah was acquired by PMS. RHB Islamic Bank Berhad was appointed by PMS as Lead Arranger to raise funds for the design, construction, operation and maintenance of the smelting plant. The syndicated term facility brings on board financiers Kuwait Finance House (Malaysia) Berhad, Asian Finance Bank Berhad, Al Rajhi Banking & Investment Corporation (Malaysia) Berhad and Bank Kerjasama Rakyat Malaysia Berhad. The Shariah-based Facility is offered to PMS under two Islamic principles, namely Istisna’ (manufacturing contract) and Ijarah (lease). Financiers will enter into an agreement with PMS by placing an order for the construction of the project at an agreed construction price. Subsequently, PMS will lease it from the Financiers for an agreed period and at an agreed rental payment amount. During the construction period, advance rental shall be served to the Financiers. The development site is located along Jalan Mukah – Balingian of Mukah Land District, about 3 kilmotres to the east of Kg. Kuala Bedengan. Target completion and commencement of the smelting plant operation is in the second quarter of 2009 with production capacity of 50,000MT per year. Present for the signing ceremony were Dato’ Paul Koon Poh Keong, Director of Press Metal Sarawak Sdn Bhd, Jamelah Jamaludin, Managing Director of RHB Islamic Bank Berhad as well as representatives Annis Sheikh Mohamed, Corporate & Investment Banking Chief Officer of Kuwait Finance House (Malaysia) Berhad, Ismail Hj Aminuddin, Domestic Banking Head of Asian Finance Bank Berhad, Asim M. Basharullah, Corporate & Investment Banking Director of Al Rajhi Banking & Investment Corporation (Malaysia) Berhad and Roslan Hussin, Commercial & SMI Financing Head of Bank Kerjasama Rakyat Malaysia Berhad. The event was witnessed by Koon Poh Ming, Executive Vice Chairman of Press Metal Berhad, Michael Joseph Barrett, Group Managing Director of RHB Bank Berhad, Raja Arni Raja Aris, Corporate Banking Director of Kuwait Finance House (Malaysia) Berhad, Kamil Suhaimi Abdul Majid, Corporate Banking Head of Asian Finance Bank Berhad, Kamarul Nizam Nadziruddin, Public Sector & Local Corporate Manager of Al Rajhi Banking & Investment Corporation (Malaysia) Berhad and Hasrul Nizan Mohd Arpa, Senior Executive, Commercial Financing of Bank Kerjasama Rakyat Malaysia Berhad. RHB Group Managing Director, Michael Joseph Barrett said, “As the Lead Arranger of this syndicated term facility, we are delighted to participate in this project, and we look forward to working together with PMS and all of the financiers in realising the potential of this project .” PMS’s smelting plant project is a part of a major heavy industrial manufacturing development in Sarawak and it is in line with the State’s industrial development policy to further develop the industrial and manufacturing sectors in Sarawak. With the excellent support from the State Government complemented by substantial funds, PMS, RHB Islamic and the Financiers look forward to the timely completion of the project while providing ample job opportunities, especially for the locals. Issued by Group Corporate Communications Division, RHB Capital Berhad for RHB Islamic Bank Berhad. For further information, please contact Eza Dzul Karnain at 012-3420060 or Sandra Foo at 012-3188412 Note to Editor With 10 years of history under our belt, Press Metal overseas operations have firmly carved a niche in the global market and continue to expand. From our initial operational base established in the United Kingdom and Australia, our distribution centers have now extended to include Canada, North America and the Middle East. Thanks to such solid local presence, we have been able to build strong relationships with our customers and cater to their needs and requirements with various solutions instantly. RHB Islamic Bank Berhad  |
