KUALA LUMPUR (March 13): Property developer Mah Sing Group Bhd said its RM600 million Sukuk Murabahah issuance has been oversubscribed.
The proceeds raised from the sukuk will be utilised for the group's landbanking, investments and working capital, as well as the refinancing of its existing borrowings and/or redemption of unrated perpetual securities.
In a bourse filing today, Mah Sing said the sukuk is part of its RM1 billion Sukuk Murabahah programme.
"The sukuk has a tenure of five years and carries a fixed profit rate of 4.35% per year, payable semi-annually. The sukuk is secured by assets owned by the company's subsidiaries and certain designated accounts.
"The effect on the group's earnings per share and net cash position will depend on the specific use of proceeds which has not been determined at this juncture," it added.
Hong Leong Investment Bank Bhd is the principal adviser, lead arranger and lead manager for the Sukuk Murabahah programme.
Mah Sing shares closed down 5.5 sen or 10.58% at 46 sen today, bringing a market capitalisation of RM1.13 billion.
http://www.theedgemarkets.com/article/mah-sings-rm600m-sukuk-oversubscribed
