Bintai Kinden Corporation Bhd announced Wednesday that its wholly-owned subsidiary, Optimal Property Management Sdn Bhd, has reached an agreement with Universiti Islam Melaka Bhd (UIMB) on repayment of RM13.5 million owed by UIMB by June 30,2026, according to a press statement circulated by Bintai Kinden and also a Bursa Filing dated Oct 30.
Under the agreed upon Extended Interim Settlement Proposal (EISP), the subsidiary of Melaka State Government UIMB will commit to a total payment of RM5.2 million to Optimal Property within the first four months (October 2024 to January 2025), followed by structured monthly installments ranging from RM400,000 to RM700,000 per month in the next 17 months.
Bintai Kinden is a mechanical and electrical engineering services specialist, medical device manufacturer and facilities operator, and manages the student accommodation of UIMB through its subsidiary Optimal Management.
As reported, the EISP also contains provisions for Optimal Management to propose a complete restructuring plan for the repayment of all arrears owed. As of Oct 29, 2024, the total arrrears amount to RM64.02 million, according to Bintai Kinden's press statement.
The RM13.5 million restructuring plan is Bintai Kinden's latest effort to uplift itself from the Practice Note 17 (PN17) status, which it entered in March 2023 due to financial challenges, arising mainly from the payment default by UIMB, formerly known as Kolej Teknologi Islam Melaka Bhd.
