Cagamas Concludes Pricing of RM1.3 Billion Worth of Bonds and Sukuk Ahead of Federal Open Market Committee Meeting

Kuala Lumpur, 23 March 2022 – Cagamas Berhad (“Cagamas” or “the Company”), the National Mortgage Corporation of Malaysia, announced its pricing of RM1.3 billion equivalent worth of bonds and sukuk; comprising RM200 million 3-year ASEAN Sustainability SRI Sukuk (SRI Sukuk), RM330 million 2-year Conventional Medium Term Notes (CMTNs), RM200 million 2-year Islamic Conventional Medium Term Notes (IMTNs), RM300 million 3-month Conventional Commercial Papers (CCPs) and Singapore Dollar (SGD) 100 million 2-year Fixed Rate Euro Medium Term Notes (EMTNs). Proceeds from the issuances will be used to fund the purchase of eligible sustainability assets, housing loans and house financing from the domestic financial system.

Cagamas’ President/Chief Executive Officer, Datuk Chung Chee Leong said, “We are pleased with the successful conclusion of both local and foreign currency issuances, amid soft market conditions with most investors staying on the sideline ahead of the Federal Open Market Committee (FOMC) meeting where a rate hike was broadly anticipated. The Fed later announced the interest rate increase of 0.25%, its first move in more than three years.”

“The successful pricing of the issuances signaled that the Company’s papers remain resilient despite volatility in the market. The CMTNs were priced via a book building exercise, while the other issuances were concluded via private placements. This brings the Company’s aggregate issuances for the year to RM4.3 billion,” added Datuk Chung.

The SGD denominated bonds, issued via the Company’s wholly-owned subsidiary, Cagamas Global P.LC. are fully and unconditionally guaranteed by Cagamas. The Ringgit issuances, which will be redeemed at their full nominal value upon maturity, are unsecured obligations of the Company, ranking pari passu as with all other existing unsecured obligations of the Company.