MNRB upsizes sukuk issuance to Rm420mil

MNRB Holdings Bhd had proposed to upsize its sukuk programme from Rm320mil to Rm420mil in nominal value in accordance with the upsizing option provided under the programme.

In a filing with Bursa Malaysia, the group said the lodgement for the proposed upsizing was made to the Securities Commission.

The upsizing of the sukuk programme was said to be intended to support MNRB and its subsidiaries continue on their current growth trajectory in the syariah-compliant general and family and takaful businesses.

“This bodes well towards the MNRB group’s business remodeling plan to diversify its revenue stream and focus its growth in the non-voluntary cession business,” it added.

MNRB said no consent for the upsizing exercise was required form the sukuk trustee, sukuk holders or any other party under the sukuk programme, as to avoid any doubt.

In addition, all other salient terms of the sukuk programme remain the same.

The sukuk programme was originally launched with the Securities Commission on Jan 24, 2019, in which MNRB had consequently issued the subordinated sukuk murabahah of Rm320mil under the programme on March 22, 2019.

The programme allowed for the issuance of senior sukuk murabahah and subordinated sukuk murabahah on an as-needed basis, provided that the total outstanding nominal value of the sukuk murabahah did not exceed the programme’s limit at any given time.

The sukuk programme was founded in accordance with the guidelines on unlisted capital market products set forth in the Lodge and Launch Framework, which was released by the commission on March 9, 2015.

Aminvestment Bank Bhd is the principal adviser, lead arranger and lead manager for the sukuk programme while Ambank Islamic Bhd is the syariah adviser for the sukuk programme.