Kuala Lumpur, 21 December 2021 – Cagamas Berhad (“Cagamas” or “the Company”), the National Mortgage Corporation of Malaysia, announced its aggregate issuances of RM900 million 3-month Conventional Commercial Papers (CCPs). Proceeds from the issuances will be used to fund the purchase of housing loans from the financial system.
“We are pleased to conclude the year with yet another successful issuance, representing the Company’s 33rd issuance exercise which brings the aggregate issuances for the year to RM19.2 billion, 65% higher than the preceding year. This marks a strong ending to an eventful year as the Company records the highest issuance since the past two decades ago,” said Datuk Chung Chee Leong, President/Chief Executive Officer of Cagamas.
“It has been an eventful year, following how challenging 2020 was for the local and global markets. We are hopeful that 2022 will be a better year as the world charts for economic recovery amid the recent emergence of the Omicron variant, which may pose a downside risk to the strength of recovery. Cagamas remains vigilant during this period and continues to remain committed towards fulfilling its mandate as a financial between the capital market and the Malaysian housing sector,” added Datuk Chung.
The CCPs were priced at the corresponding 3-month KLIBOR benchmark rate plus 3 bps based on KLIBOR fixing on the pricing date, representing a spread of 24 bps above the corresponding Malaysia Treasury Bills.
The papers, which will be redeemed at their full nominal value upon maturity, are unsecured obligations of the Company, ranking pari passu and with all other existing unsecured obligations of the Company. They will be listed and tradable under the Scripless Securities Trading System.