Malaysian billionaire Ananda Krishnan is preparing to settle a RM2 billion (S$750,900) loan owed by troubled state fund 1MDB, four sources familiar with the matter said – a last-minute reprieve for the fund whose debt woes are pressuring the ringgit and the country’s sovereign credit rating.
The development fund, which owns a large portfolio of power plants, has missed payments on the bridge loan that was due end-December, and its lenders were keen to see it paid before they had to write it down in first-quarter earnings, bankers said.
The local media have reported that the final deadline was Feb 18.
Mr Ananda, who sold his collection of power plants to 1MDB, has been in talks with 1MDB to become a cornerstone investor in the long-delayed US$3 billion (S$4 billion) listing of its power assets.
Credits: The Straits Times