PETALING JAYA: Top Glove Corp Bhd’s wholly owned subsidiary TG Excellence Bhd (TGE) has lodged a RM3.0 billion perpetual sukuk programme with the Securities Commission Malaysia.
The perpetual sukuk programme, under the syariah principle of wakalah bi-al istithmar, is guaranteed by Top Glove via a subordinated guarantee.
With the company’s corporate credit rating being assigned at AA by Malaysian Rating Corp Bhd, the perpetual sukuk programme has been assigned a preliminary rating of AA-IS(cg). Both ratings carry a stable outlook.
“The proceeds raised from the programme are intended to be utilised by the company and/or its subsidiaries, associated companies and/or jointly controlled entities to refinance its existing financing/debt obligations (whether in whole or in part), repayment of intercompany borrowings, and/or to finance working capital requirements, investments, acquisition, capital expenditure and/or its general corporate purposes,” Top Glove said.
All utilisation of proceeds raised under the sukuk wakalah will be syariah-compliant.
CIMB Investment Bank Bhd and Hong Leong Investment Bank Bhd are the joint principal advisers and joint lead arrangers for the perpetual sukuk programme, whilst CIMB Islamic Bank Bhd is the syariah adviser.
