Home Home | news | Finance | Concerns over Growing Debt Load of the Al-Bukhary Group

 Top Main Categories

  Builders   (28563 Hits)

  Car   (25488 Hits)

  Main   (21804 Hits)

  Automation Systems & Equipment   (16885 Hits)

  Cable & Wire Equipment   (16688 Hits)

  Accounting   (12115 Hits)

  Advertising   (11629 Hits)

  Agricultural   (10792 Hits)

  Boats   (10696 Hits)

  Amusement   (10521 Hits)

 Recent Listings

  Nottingham Steel Supplies Ltd - North East, Nottinghamshire, nottingham.

  Nottingham Steel are steel stockholders located in Nottingham. We supply a range of products includi


  Battery Force Ltd - East Midlands, Manchester, Manchester.

  Battery Force is one of theUKs largest online battery suppliers, offering a vast range of batterie


  Tenola Ltd - Eastern, Lincolnshire, Market Deeping.

  Tenola, Triathlon Wear and Clothing made in the UK. Tenola is engaged in the design, development and


  Locksmiths Edinburgh 365 - Scotland, Midlothian, Edinburgh.

  Locksmiths Edinburgh 365 professionals offer affordable and reliable residential locksmith service 2


  Imaginaire Digital - London, Nottinghamshire, Nottingham.

  Imaginaire Digital provide East Midlands businesses with Web Design and Online Marketing services (i


Concerns over Growing Debt Load of the Al-Bukhary Group
12 2014, 12:55 | his, Mokhtar, said, corporate, group, financial, businessman, funds, reported, newspaper, projects, Straits, could, high, Malaysia, Tan, who, companies
Concerns are rising over the growing debt load in Tan Sri Syed Mokhtar Al-Bukharys companies now that the tycoon is expected to snap up the multi-billion ringgit tunnelling contract for the citys RM36 billion train service and the Penang Port. Singapores Straits Times reported today that the Kedah-born businessmans debts could be as high as RM25 billion, with RM21 billion itself incurred by his flagship MMC Corp although his officials claimed most of it is due to project financing. There are a host of corporate governance issues that plague his group and the chief among them is the rising debt load, said one chief executive of a boutique financial consultancy. The fear is that his group could be the Renong of this decade, said a senior politician from UMNO, referring to the politically well-connected conglomerate headed by businessman Tan Sri Halim Saad. Renong feasted on infrastructure projects dished out by former premier Tun Dr Mahathir Mohamads government. but when the regional crisis hit in mid-1997, it was crippled by huge debts and was eventually bailed out with public funds. The Singapore daily reported that in the past year Syed Mokhtar had emerged as the single biggest beneficiary of state contracts and concessions worth billions of ringgit, making him Malaysias most favoured corporate son and the governments partner of choice. But close associates of the lanky and reserved tycoon insist the debt concerns are misplaced and he is not biting off more than he can chew. The newspaper said they acknowledged that the debt load of Syed Mokhtars corporate flagship, publicly-listed MMC Corp, which stands at just over RM21 billion, may appear high. but the lions share of the debt is project finance, a complex form of financing reserved for large-scale infrastructure projects where the debt is typically repaid from funds generated from the businesses. The debt load is manageable and is high because of the nature of the businesses the group is involved in, said a senior corporate lieutenant of Syed Mokhtar, who insisted it can easily raise funds to finance future projects. But some Kuala Lumpur-based bankers are not so sanguine, noting that the financial returns from many of the groups assets such as its power plants are poor yielding, and that its ports, which are not performing well, could suffer should the global economy enter a slump. The newspaper also said the shares of the listed companies in Syed Mokhtars corporate empire do not seem to appeal to conservative foreign and domestic fund managers. Born to a family of traders with roots in Bokhara, in present-day Uzbekistan, Syed Mokhtar began his business career peddling Thai rice to the state governments in northern Malaysia before riding the boom on the stock market in the 1990s. The capital from trading in stocks provided him with financial heft for his first major venture: the purchase of a port in Johor which today is the Port of Tanjung Pelepas. The Straits Times said by leveraging on his strong ties with politicians such as Dr Mahathir and current Deputy Prime Minister Tan Sri Muhyiddin Yassin, who at the time was the mentri besar of Johor, Syed Mokhtar moved into other areas. Admirers and close associates told Straits Times that Syed Mokhtar is often favoured because of his lavish donations to Islamic causes and political contributions. His companies contributed around RM350 million last year to his own foundation, which focuses on education and religious causes, the newspaper reported. However, it said critics argue that the businessmans clout illustrates how the old patronage system where business and politics intertwine in Malaysia remains in force. He is a master at the political game first and only then a businessman, said a financial consultant who has done work for Syed Mokhtars group.
Related news:
» Pimcos Gross says bonds have seen best days
Excess borrowing in nations including the U.S., U.K. and Japan will eventually lead to inflation as ...
» Bangladesh eyes UAE investment : Abu Dhabi Metro
Dubai: Bangladesh will sign two trade and investment agreements with the UAE within the next two ...
» TPG Capital Completes Acquisition of MDA Property Information Business
FORT WORTH, Texas(BUSINESS WIRE)TPG Capital (TPG) today announced that it has completed the ...
» Tempo Group and Leuliette Partners Sign Letter of Intent to Form Joint Venture Management, Trading & Investment Firm
DETROIT, Dec. 14, 2010 /PRNewswire/ Tempo Group and Leuliette Partners LLC today signed a letter ...

Link to:
Add to Blog »
: Finance | 227 | »

You can login using the proposed social services to add a comment.
Comments from authorized users are added to the directory without checking administrator.

You can log in using: Yandex Google Mail.ru Twitter Loginza MyOpenID OpenID WebMoney
Your name: *  
Your email (optional):     
Review: *  
  characters left.
: *  
 Top Listings

  Amplestore Ltd. - Armstrong Rechelle - South West, Cornwall, Redruth.

  Amplestore Ltd. - The kind of business activity - Warehousing & Distribution Services - SIC - 63129

  (641 Hits since11-15-2014)

  Battery Force Ltd - East Midlands, Manchester, Manchester.

  Battery Force is one of theUKs largest online battery suppliers, offering a vast range of batterie

  (85 Hits since06-23-2018)

  Nottingham Steel Supplies Ltd - North East, Nottinghamshire, nottingham.

  Nottingham Steel are steel stockholders located in Nottingham. We supply a range of products includi

  (84 Hits since06-23-2018)

  Overseas Express Ltd. - Chaudhry Hukam Dad - Director 0121-328-3907 - Unknown, West Midlands, Birmingham.

  Overseas Express Ltd. - Holiday & Travel Agencies - 178 Alum Rock Road

  (3059 Hits since0-0-22.10.2012)

  Hamilton Air Conditioning Ltd - London, Greater London, Hendon.

  Need an Air Conditioning installation, maintenance and repair service in London? Here at Hamilton

  (3084 Hits since01-20-2014)

 Products and Services

Professional Negligence
Have you been let down by a professional such as a financial advisor, an estate agent or an accounta ...

Projector Installations
Definition Audio Visual is a professional projector installation company that installs custom projec ...

 Updated company

  Greenford Ltd - Mr R Hutton - Director 01865 877 820 - South East, Oxfordshire, Oxford.

  Greenford Ltd
Civil Engineering
Unit 1, London Road
Oxford  OX33 1

  Hamlin Iles & Crago - Chartered Building Surveyors - South East, Surrey, Guildford.

  Hamlin Iles & Crago - Chartered Building Surveyors in London and south east - specialising in pa

  Service Graphics North - 01695 725 486 - North West, Lancashire, Skelmersdale.

   We Change Space As the UK's largest provider of , we have a long and proven track record of pro

  Broughton Pianos - North East, Worcestershire, Belbroughton.

  Broughton Pianos have been trading for over 30 years, and in this time have established themselves a

  Tekfirst - Yorkshire and the Humber, North Yorkshire, Harrogate.

  Tekfirst is a professional full-service digital marketing agency which offers an array of services f

 Featured Listings

  Redmayne Bentley - Mr R Hughes 01482 864090 - Yorkshire and the Humber, Lincolnshire, Beverley.

  Redmayne Bentley - The kind of business activity - Stockbrokers - SIC - 6712 - Address - Ladtgate Ho

  Focus Fire & Security - Mr R Dyers - Manager 0870-442 2999 - Unknown, Merseyside, Liverpool.

  Focus Fire & Security - Burglar & Intruder Alarm Systems - Queens Dock Commercial Centre

  First Image Design & Print Ltd - Mr L J Coppola - Proprietor 2476461243 - West Midlands, West Midlands, Coventry.

  First Image Design & Print Ltd - Printers - 86-88 Stonebury Avenue

  Aegis Security Systems - Mr P Ioannou - Proprietor 0151-228 8422 - Unknown, Merseyside, Liverpool.

  Aegis Security Systems - Burglar & Intruder Alarm Systems - 45 Coulport Cl

  Serigraphia Ltd. - - 024-7663-7744 - Unknown, West Midlands, Coventry.

  Serigraphia Ltd. - Printing - 75 Longford Road

My Notebook (0) UK Business Directory
This Page Took 0.807 secs To Load, Current Template - "shape", Language - "en".
GZip Compression Disabled, 60 SQL Queries Executed, Took 0.594 secs ( Average 0.01 secs )

Business directory
+44 (0) 247-699-67-96, +44 (0) 843-532-55-12