Sports Toto Bhd (SPToto) invested RM17 million in Islamic medium-term notes (IMTN) issued by Berjaya Yokohama Sdn Bhd, a subsidiary of Berjaya Corp Bhd.
The investment was made through SPToto's wholly-owned subsidiary, Magna Mahsuri Sdn Bhd, on August 20, 2026.
Fixed Return of 7% Per Annum
SPToto said the investment was financed using internal funds to optimise the group's cash utilisation.
The notes offer a fixed profit rate of 7% per annum, payable every six months.
The rate is seen as higher than conventional deposit placements.
Berjaya Yokohama's Sukuk Murabahah Programme has an issue size of up to RM1 billion and a maturity date of October 2, 2054.
Unsecured Notes, Guaranteed by Berjaya Group
The notes are unrated and unsecured, with Berjaya Group Bhd acting as guarantor.
Each issue has a term of one year, with an option to extend until the programme's maturity date.
No Material Impact on SPToto
SPToto expects the subscription to have no material impact on its net assets, earnings or gearing for the financial year ending 30 June 2027.
However, there is a relationship between the management of both groups.
SPToto Chairman and Executive Director, Datuk Seri Robin Tan Yeong Ching, is a director of Berjaya Yokohama, while SPToto Chief Executive Officer and Executive Director, Nerine Tan Sheik Ping, is a shareholder of SPToto and Berjaya Corp.
Neither participated in the board discussions and voting process regarding the subscription.
