Cagamas Bhd has announced the issuance of its first ASEAN sustainability bonds totalling RM100mil, comprising RM35mil one-year, RM20mil two-year and RM45mil 2.5 year bonds. The bonds are issued under the national mortgage corporation’s existing RM60bil medium-term notes programme. Cagamas president and chief executive officer Datuk Chung Chee Leong said proceeds from the issuance would be used to primarily fund the purchase of eligible non-carbon emitting industrial hire purchase receivables for small and medium enterprises that contribute to environmental sustainability. The issuances received commendable response from investors and attracted a total order of RM240mil, with a combined final book-to-cover ratio of 2.4 times. Cagamas Bhd, the National Mortgage Corporation of Malaysia, issues corporate bonds and sukuk to finance the purchase of housing loans and receivables from financial institutions, selected corporations and the public sector.

Posted by

TheStar