Cagamas Concludes Pricing of RM4 Billion Worth of Bonds and Sukuk in a Single Month

Kuala Lumpur, 1 December 2021 – Cagamas Berhad (“Cagamas” or “the Company”), the National Mortgage Corporation of Malaysia, announced its aggregate issuances of RM4 billion equivalent, comprising RM345 million 3-month Islamic Commercial Papers (ICPs), RM400 million 3-month Commercial Papers (CCPs), RM100 million multi-tenured ASEAN Sustainability Bonds (Sustainability Bonds), RM380 million multi-tenured Conventional Medium Term Notes (CMTNs), RM1.6 billion multi-tenured Islamic Medium Term Notes (IMTNs) as well as USD268 million 1- & 2-year Fixed Rate Euro Medium Term Notes (EMTN) through its wholly-owned subsidiary, Cagamas Global P.L.C.. Proceeds from these issuances will be used to fund the purchase of eligible sustainability assets, housing loans and Islamic home financing from the financial system.

President/Chief Executive Officer of Cagamas, Datuk Chung Chee Leong said, “We are pleased with the successful conclusion of the Company’s issuances from both domestic and international market despite the global headline risks on inflation and the growing expectation of rate hike in the coming months.”

“The Company’s continuous efforts to tap into the foreign currency markets while maintaining its presence in the domestic market, contributed to the successful conclusion of the transactions, underlining its continued capability to provide competitive funding to onshore financial institutions. The USD issuances also mark the Company’s second foreign currency pricing exercise for the year and brings the total foreign currency issued year-to-date to an equivalent of RM1.9 billion or 11% of all issuances concluded by Cagamas year-to-date,” added Datuk Chung.

The transactions bring the Company’s year-to-date issuance amount to RM17.2 billion, the highest since 2008. The USD denominated bonds issued via the Company’s wholly- owned subsidiary- Cagamas Global P.LC. are fully and unconditionally guaranteed by Cagamas while the Ringgit issuances, which will be redeemed at their full nominal value upon maturity, are unsecured obligations of the Company, ranking pari passu with all other existing unsecured obligations of the Company.