Maybank demands US$418m from Hyflux within seven days for loans

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SINGAPORE (April 26): Hyflux has received a letter from Maybank seeking S$509.1 million and US$44.5 million in payments for term loan facilities and cash cover for contingent liabilities, according to April 25 co. statement.

* Maybank is seeking payment within seven days from Tuaspring facility, according to statement

* Costs also cover interest and legal costs on a full indemnity basis

* “The term loan and letter of credit facilities made available by Maybank under the Tuaspring financing arrangements are non-recourse to and are not guaranteed by the Company”

* Maybank says Tuaspring is “not to sell, remove, transfer or otherwise dispose of the charged property, save for the sale of the desalination plant and shared infrastructure to PUB pursuant to the terms of the WPA"

* Hyflux says co. unable to “precisely determine” the exact amount payable to Maybank, and aggregate amount currently est. to be in region of S$28 million as at end March

* Hearing of seven unsecured banks’ carve-out application with Hyflux has been adjourned to May 7, where court will decide whether the moratorium should be lifted to allow the banks to place Hyflux and Hydrochem under judicial management at May 7 hearing

* READ: Hyflux to Seek Further 3-Month Creditor Reprieve: Business Times

* NOTE: Hyflux Seeks Cash Injection From Middle East Investor (1)