continued - The Lion Group

32. BONDS AND DEBTS (continued)
(A) LCB Bonds and LCB Debts (continued)
(g) All rights, title and interest of the Company and Limpahjaya under the Deed of Undertaking;
(h) Proceeds from the disposal of 66,666,667 ordinary shares of RM1.00 each in Megasteel;
(i) 33,333,333 ordinary shares of RM1.00 each in Megasteel;
(j) Shares and assets in Pancar Tulin Sdn Bhd (including the property development project);
(k) Shares in LCB Harta (L) Limited;
(l) Such other securities as may be provided from time to time to the Security Trustee for the
benefit of the Bondholders, RCSLS Holders and the Lenders; and
(m) The Redemption Account and the General Escrow Account held by the Company. The
Redemption Account will capture the LCB Dedicated Cash Flow.
Dedicated Cash Flows means cash flow from the following sources:
- net surplus proceeds from the disposal of any assets in the PDP for the Group over which
there is presently a security, if applicable;
- net proceeds from the disposal of any assets in the PDP for the Group over which there
is presently no security;
- proceeds of the LDHB Inter-Co Repayment received by the Company (including any
loyalty payment received following the full repayment of LDHB Inter-Co Repayment);
- dividends or cash flow from the Deed of Undertaking;
- subject to the proportions allocated pursuant to the Trust Deed, dividends and disposal
proceeds from Bright Steel Sdn Bhd and Lion Plate Mills Sdn Bhd;
- repayment proceeds from the ACB SPV Debts and proceeds from the Property
Development Project after repayment of LCB SPV Debts; and
- proceeds from the disposal of 11.1% of the issued and paid-up share capital of Megasteel.
Monies captured in the Redemption Account can only be used towards redemption/repayment
of the LCB Bonds, LCB Debts and RCSLS and cannot be utilised for any other purposes.
The LCB Bonds, LCB Debts and RCSLS constitute direct, unsubordinated and secured obligations of the
Company, being the issuer.
The LCB Bonds, LCB Debts and RCSLS ranked pari passu amongst each other over the Securities held by
the Security Trustee under items (a) to (m) above.
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