Print Page     Close Window     

SEC Filings

20-F
IKANG HEALTHCARE GROUP, INC. filed this Form 20-F on 08/10/2018
Entire Document
 

Table of Contents

 

IKANG HEALTHCARE GROUP, INC.

 

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued

FOR THE YEARS ENDED MARCH 31, 2016, 2017 AND 2018

(In thousands of US dollars, except share and per share data, or otherwise noted)

 

12.                               SHORT-TERM BORROWINGS - continued

 

(1)         Bank borrowings - continued

 

The above amount of short-term borrowing remained outstanding, which amounted to $38,659 and $58,373 as of March 31, 2017 and 2018, respectively.

 

Interest expense incurred for the years ended March 31, 2016, 2017 and 2018 was $1,734 and $1,725 and $2,517, respectively. The weighted average effective interest rate for the years ended March 31, 2016, 2017 and 2018 was 3.3%, 4.2% and 4.54%, respectively.

 

(2) Long-term loans due within one year

 

a.              In December 2015, iKang Holding entered into a series of agreements to issue long-term loans with principal amount totaling $203,393 (equivalent to RMB1,400,000,000) to four third-party investors (“bond holders”) with terms varying from eighteen months to thirty-six months.

 

The agreement stipulate that if the Group successfully completes the privatization before the maturity date of the long-term loans, and the bond holders decide to convert the loans into the future listing vehicle’s shares, no interest will be charged; however, if the bond holders decide not to convert, the interest rate will be at 5% or 8% (was originally 20%, amended to 8% subsequently in January 2017). Furthermore, if the privatization is not completed before the maturity date of the long-term loans, or the Group fails to put their best effort to facilitate the bond holder conversion of the loan into the future listing vehicle’s shares, the interest rate will be at 8% or 10% (was originally 5%, amended to 10% subsequently in December 2017). Interest rates of 8% and 10% were applied to accrue the interest expenses for above long-term loans for the year ended March 31, 2018, respectively.

 

Interest expense incurred for the years ended March 31, 2016, 2017 and 2018 was $2,869, $11,768 and $17,317, respectively. The effective interest rate for the year ended March 31, 2018 was 11.1%.

 

Loan amount of $29,056 (equivalent to RMB200, 000,000) was repaid in the year ended March 31, 2017, and $52,808 (equivalent to RMB350,000,000) was repaid during the year ended March 31, 2018. As of March 31, 2018, all the remaining outstanding loan amount of $135,510 (equivalent to RMB 850,000,000) was classified to short-term borrowings as the loans become due in three tranches in December 2018, January 2019 and March 2019, respectively.

 

b.              In November 2017, two of the Group’s wholly-owned subsidiaries entered into medical equipment sale-leaseback agreements as financial lease arrangement with Guiyang GYB Financial Leasing Co., Ltd.. Please refer to Note 13b for details.

 

As of March 31, 2018, the lease payment due within 1 year amounted to $2,567, which was included in short-term borrowings.

 

The carrying values of short-term borrowings approximate their fair values due to its short-term maturities.

 

13.                               LONG-TERM BORROWINGS

 

 

 

As of March 31,

 

 

 

2017

 

2018

 

 

 

 

 

 

 

Long-term loans

 

$

101,697

 

$

38,884

 

 

 

$

101,697

 

$

38,884

 

 

F-45



Copyright © 2015- iKang Healthcare Group, Inc. All Rights Reserved.