KUALA LUMPUR, Feb 9 — Jerasia Capital Bhd (Jerasia) announced that its wholly-owned subsidiaries had defaulted in the repayment of principal and interest of their respective financing facilities provided by the United Overseas Bank (Malaysia) Bhd (UOB).
They are Canteran Apparel Sdn Bhd (CASB), Jerasia Fashion Sdn Bhd (JFSB) and Jerasia Apparel Sdn Bhd (JASB), which are not major subsidiaries of the apparel manufacturer.
In a filing with Bursa Malaysia today, Jerasia said as at December 31, 2021, CASB’s outstanding amount with UOB stood at US$5.79 million (Short Term Loan-1), US$397,314 (Short Term Loan-2) and RM2.12 million (Revolving Credit).
JASB’s outstanding amount stood at RM18.25 million (Short Term Loan-1) and RM1.06 million (Revolving Credit); while JFSB’s outstanding amount stood at RM10.53 million (Short Term Loan-1), RM14.91 million (Short Term Loan-2), RM1.84 million (Short Term Loan-3) and RM2.11 million (Revolving Credit).
“Jerasia and its subsidiaries’ retail and manufacturing segments in Malaysia have been operating under adverse financial and operational conditions since the Covid-19 pandemic.
“Due to the prolonged different phases of movement control order, coupled with the temporary closure of stores, the group’s overall sales had plummeted, thus it was unable to generate sufficient revenue to meet its repayment requirements,” it said.
Jerasia said together with its solicitor, the company is working towards engaging with UOB to resolve a debt settlement arrangement, adding that it is the corporate guarantor for the financing facilities.
“In the longer term, a satisfactory restructuring of the group’s financial arrangement through a regularisation plan will be implemented, to comprehensively address the company’s current PN17 status,” it added. — Bernama
