Kuala Lumpur, 28 November 2019 – Cagamas Berhad (“Cagamas” or “the Company”), the National Mortgage Corporation of Malaysia, today announced the issuance of its multi-tenured RM500 million Islamic Medium Term Notes (IMTNs) comprising RM20 million 1-year IMTNs, RM30 million 3-year IMTNs and RM450 million 5-year IMTNs. The issuance proceeds will be used to fund the purchase of Islamic home financings from the financial system.
“We are pleased with the successful conclusion of the Company’s 23rd issuance exercise for this year which brings the total issuances for YTD 2019 to RM7.9 billion. The issuance was out of the Company’s RM40 billion Conventional Medium Term Notes (CMTNs)/Islamic Medium Term Notes (IMTNs) local currency programme. The issuance, that was concluded via public offering drew commendable participation from a diversified group of investors including sovereign wealth funds, financial institutions, insurance companies, as well as foreign asset managers,” said President/Chief Executive Officer, Datuk Chung Chee Leong.
“The Company’s IMTNs were priced competitively at final profit rate of between 26 to 29 basis points (bps) over Malaysian Government Investment Issues (MGII), 5 to 8 bps above government-guaranteed (GG) sukuk and 1 to 9 bps below AAA-rated corporate sukuk yield of equivalent tenure,” added Datuk Chung.
The papers, which will be redeemed at their full nominal value upon maturity, are unsecured obligations of the Company, ranking pari passu among themselves and with all other existing unsecured obligations of the Company.