Home English News Business Perak Transit issues RM100mil Islamic notes under expansion plan

Perak Transit issues RM100mil Islamic notes under expansion plan

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Perak Transit issues RM100mil Islamic notes under expansion plan

KUALA LUMPUR: Perak Transit Bhd issued a second tranche of RM100mil Islamic medium term notes (IMTN), of which UOB Malaysia and AmBank Group were the subscribers.

In a statement on Tuesday, it said the unrated Islamic securities were the second tranche under its RM500mil 15-year Sukuk Murabahah programme, the company’s first Shariah-compliant debt capital raising exercise launched in 2019.

The proceeds from the issuance will be used to finance its working capital requirement and capital expenditure for the development of the company’s new transportation terminal in Bidor, Perak.

Perak Transit said it embarked on developing new transportation hubs to expand its transportation network across major towns and cities within the state.

Under its new expansion plan, the new transportation terminal, Bidor Sentral, is expected to become its southern transport hub for the state.

The company’s executive director Datuk Cheong Peak Sooi said the second issuance under the programme will help PTRANS to continue its growth journey and to drive price efficiency through lower financing cost.

UOB Malaysia is the lead arranger and the joint lead manager for the IMTN issuance.

UOB Malaysia deputy CEO Ng Wei Wei said Perak Transit has once again placed its confidence in UOB Malaysia’s Islamic capital markets and sustainable financing capabilities “by giving us the mandate as the lead arranger and the joint lead manager for its second Islamic issuance”.

Apart from UOB Malaysia, AmBank Group also act as the joint lead manager for the issuance.

The group chief executive officer, AmBank Group Datuk Sulaiman Mohd Tahir said the bank was pleased to come on board as the joint lead Manager in this issuance as this would provide Perak Transit with capital expenditure and working capital to diversify its development plans and projects in Perak.

UOB Malaysia is the principal adviser, lead arranger, lead manager and facility agent for the entire Sukuk programme.



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