GENTING Malaysia Bhd (GENM) has completed a US$525 million in senior unsecured notes due 2029.

The move is part of GENM’s broader strategy to refinance existing debt and enhance its financial stability.

The offering was priced on September 10, 2024, by the company’s indirect wholly-owned subsidiaries, Genting New York LLC and GENNY Capital Inc.

The notes carry a 7.250% annual interest rate, payable semi-annually, and will mature in 2029.

It have been rated BB+ (stable) by S&P Global Ratings and BBB- (negative) by Fitch Ratings.

The proceeds from this offering will be used primarily to repay existing indebtedness, providing GENM with greater financial flexibility.

The notes have been offered to qualified institutional buyers in the US under Rule 144A and to non-US persons under Regulation S, and they are not registered under the US Securities Act.

They are unsecured obligations, ranking senior to future subordinated debt but junior to existing and future secured debt.

The Notes can be redeemed under specific conditions, with decreasing redemption prices starting from October 1, 2026.

The offering was coordinated by Citigroup Global Markets Inc and Wells Fargo Securities, LLC, and has received approval for listing on the Singapore Exchange Securities Trading Limited (SGX-ST).

This refinancing effort is aimed at strengthening GENM’s balance sheet and positioning the company for future growth. — TMR