KUALA LUMPUR: YNH Property Bhd in a statement today said it has remedied a technical default on its bonds, after making the requisite payments.

The company triggered a technical default according to MARC Ratings after it failed to deposit the second monthly payment of RM6.1 million due on March 28, 2024, as part of the build-up in the reserve account. 

YNH said it has paid the payment due on March 28, 2024, and the balance for the second monthly payment due April 26, 2024 by topping up the fund in the reserve account.

The company assured bondholder that it will maintain compliance to prevent further technical defaults.

YNH  further explained that the sale of Kiara 163 Retail Park is currently in its final stages and is pending shareholders' approval at the upcoming extraordinary general meeting (EGM).

The transaction is scheduled to compete by June 2024.

According to YNH, this transaction aligns with its commitment to maximising the value of its assets while ensuring the long-term sustainability of its business operations.

Additionally, YNH has also reaffirmed that the bond collateral information provided in the memorandum is accurate as it is based on independent valuations conducted by Jones Lang Wootton.

To date, there have been no material changes to the bond collateral information.

The company also noted that it has appointed Morison LC PLT as the external auditor, reflecting its commitment to upholding the highest standard of financial reporting and transparency.

YNH's share price closed unchanged at 45 sen a share, giving it a market capitalisation of RM238 million.

The stock has fallen almost 84 per cent since the start of the year.