Gas Malaysia to raise up to RM700m from sukuk

PETALING JAYA: Gas Malaysia Bhd has established an Islamic Commercial Papers (ICPs) Programme and an Islamic Medium Term Notes (IMTNs) Programme.
The company proposes to issue ICPs of up to RM700 million in nominal value under the ICP programme and up to RM700 million in nominal value under the IMTN Programme, subject to a combined aggregate limit of up to RM700 million in nominal value under the syariah principle of Murabahah (via Tawarruq arrangement).
In a filing with Bursa Malaysia last Friday, the company said the principal terms and conditions of the Sukuk Murabahah programmes were earlier lodged with the Securities Commission Malaysia (SC) in accordance with the SC’s Guidelines on Unlisted Capital Market Products under the Lodge and Launch Framework.
The ICP Programme and the IMTN Programme will have a tenure of seven years and 10 years respectively from the date of the first issue under the respective programmes. The ICPs and IMTNs are unsecured and will not be listed on Bursa Securities or on any other stock exchange.
The proceeds raised from the issuance of the Sukuk Murabahah will be used to repay/refinance the borrowings/financing of the group, to finance present and future syariah-compliant investments, to finance the company’s syariah-compliant working capital and capital expenditure requirements and/or to pay fees, expenses, costs and other amounts payable in relation to the programmes.