Blues owners' PS1.7m loan 'to aid liquidity'.
BLUES' troubled parent group has agreed a new PS1.7 million loan - thanks to owner Carson Yeung's brother-in-law.
Birmingham International Holdings announced to the Hong Kong Stock Exchange that the 20 million Hong Kong dollars loan had been negotiated with a company called U-Continent Holdings Ltd.
The loan was facilitated by Victor Ma Shui-Cheong, brother-in-law of Yeung, whose Hong Kong trial on money laundering charges is currently adjourned.
BIHL said: "The Board wishes to inform the shareholders of the Company and potential investors that, on July 27, 2013, the company has entered into a loan agreement with U-Continent Holdings Limited, pursuant to which the Lender has made available to the Company a loan in the principal sum of HK$20 million for up to 12 months at a monthly interest rate of 0.5 per cent, which has been fully drawn down on July 30, 2013.
"The outstanding balances of the loan together with all interest accrued thereon shall be repaid by the Company to the Lender on or before July 25, 2014, unless extended by the Lender.
"The loan obtained will be used for general working capital purposes of the Group. It is expected that the loan will immediately improve the Group's liquidity position."
The announcement said Mr Ma would be paid 600,000 Hong Kong dollars (around PS50,000) for arranging the loan through his company Splux.