Others – Default in Payment
9.50
Does a listed corporation have to make an immediate announcement when its 49% associated company defaults in payment of either interest or principal sums but the associated company’s bankers do not issue any notices/demand letter?
Pursuant to Rules 9.19A(1)(b) of the ACE LR, any such default in payments (as envisaged in the loan/credit facility agreement) including by an associated company of a listed corporation which is material (ie. vis-à-vis the group) would require immediate announcement irrespective of whether a notice or demand has been issued by the bankers.