kuala lumpur: Affin Group made its debut in the US dollar bond market with the issuance of senior secured bonds at a nominal value of USD 300 million (RM127 billion) under the US$2 billion (RM84.6 billion) Euro Medium-Term Notes (EMTN) program.
The bank said in a statement today that it issued Moody’s Investors Services, Inc., the latest in the first international credit rating of A3 (Stable), following the establishment of the EMTN program.
“This memo is priced at 105 basis points (BPS) over a five-year U.S. Treasury yield, offering a fixed interest rate of 5.112% per year and was rated A3 (Stable) by Moody Investor Services Inc, confirming the bank’s robust credit profile and stable outlook.
“The issuance attracted strong global demand, with the final order book exceeding US$1 billion in 67 investor accounts, representing 3.5 times oversubscription,” he said.
Affin said the distribution consists of 87% geographically, 87% to Asia, 11% in Europe, the Middle East and Africa (EMEA) and 2% in US offshore investors.
Depending on the type of investor, the memo said 72% were assigned to assets, fund manager/insurance, 24% were assigned to banks and 4% to private banks/etc.
Meanwhile, Affin Group president and chief executive officer, Datuk Wan Razly Abdullah, said the bank’s debut in the US dollar bond market has made significant advances in the group’s capital market strategy and has sparked strong demand for global investors.
“The overwhelming response highlights investors’ trust in our foundations and tests the credibility we have established.
“Learned by the Affin Axelated 2028 (AX28) plan, the group is committed to unlocking long-term value through unparalleled customer service, digital leadership and responsible banks that impact responsible banks,” he added.
