CO-opbank Persatuan expects RM300 mln iRCPS to be fully subscribed in Sept

KUALA LUMPUR: Co-opbank Persatuan Malaysia Bhd expects the additional RM300 million Islamic Redeemable Convertible Preference Shares (iRCPS) issued recently will be fully subscribed by the end of September.

Its Chairman, Kamari Zaman Juhari said the shares, which targeted a six per cent dividend yield, were highly sought by individuals, cooperatives and corporate bodies.

“The total iRCPS investment in Co-opbank Persatuan is now at RM348 million, involving 77,000 individual investors and 530 coops,” he told Bernama.

The additional shares were opened for subscription in July 2017. Information on the offer, as well as their subscription can be made at 20 Co-opbank Persatuan branches throughout the country.

Kamari, who was appointed Co-opbank Persatuan Chairman on July 15, said the iRCPS were of permanent nature but could be redeemed after five years, where the shareholders had the option of either redeeming the shares for cash or converting them into Co-opbank Persatuan’s shares.

He said Co-opbank Persatuan opted for the Islamic-compliant iRCPS as a significant step to increase its membership among Bumiputera individuals and major co-ops nationwide.

Co-op Bank Persatuan is also expanding its shariah-compliant banking business to stave off competition from other financial institutions, he said, adding that plans were afoot to introduce banking agents and mobile banks in the first quarter of 2018. — Bernama