KUALA LUMPUR (Aug 7): Press Metal Aluminium Holdings Bhd’s unit Press Metal (Labuan) Ltd is redeeming US$173.11 million debt papers.  

The value represents approximately 43.28% of the principal amount of senior notes outstanding, the group said in a bourse filing today.

Press Metal’s unit had on July 28 invited the note holders to submit tenders to redeem their notes for cash.

“The acceptance amount shall be US$173.11 million representing the full amount of the aggregate principal amount of the notes that have been validly offered for sale (and not validly withdrawn) and accepted by Press Metal Labuan for purchase on the settlement date.

“The purchase price shall be 100% of the principal amount of the notes that are validly tendered by the expiration deadline and accepted by Press Metal Labuan for purchase pursuant to the offer,” it added.

The aluminium producer said the offer, which expired yesterday at 4pm London time, was made as part of the company’s policy to actively manage its balance sheet liabilities while optimising its costs of financing.

According to the group, the settlement date is expected to be on or before Aug 17.

All validly tendered notes accepted for purchase by Press Metal Labuan will be cancelled subsequent to the settlement date, said Pres Metal.

As at 4.45pm, Press Metal’s share price dropped two sen to RM5.03 for a market capitalisation of RM20.35 billion.