SapuraKencana Petroleum Berhad ("SKPB") through its wholly-owned subsidiary, SapuraKencana TMC Sdn Bhd ("SKTMC"), today announced the lodgement and launch of a Multi-Currency Islamic Medium Term Notes Programme (“Multi-Currency Sukuk Programme”). The programme has a tenure of 30 years and a nominal value of RM7.0 billion or its equivalent in USD.
The lodgement in relation to the Multi-Currency Sukuk Programme to the Securities Commission (“SC”) was made on 15 June 2015, under the new SC’s Guidelines on Unlisted Capital Market Products under the Lodge and Launch Framework effective from 15 June 2015 (“LOLA Framework”).
The proceeds that will be raised from the issuance(s) under the Multi-Currency Sukuk Programme will be utilized inter-alia, to refinance SKTMC’s existing financings and to fund oil and gas related business requirements for the SKPB Group of companies.
Tan Sri Dato’ Seri Shahril Shamsuddin, the President and the Group Chief Executive Officer said, “SKPB is the first company in Malaysia to initiate a sukuk programme under SC’s new LOLA Framework. It reaffirms our commitment in further strengthening Malaysia’s position as a leading international Islamic financial hub”.
This platform allows SKPB to tap into the growing market demand for Shariah-compliant investments and diversify the Group’s funding sources in better complementing the needs of the business”, he added.
The Multi-Currency Sukuk Programme is not rated and structured based on the Shariah principle of Murabahah (via Tawarruq arrangement). The Multi-Currency Sukuk Programme is ideal to cater for SKPB Group’s funding requirements as it minimises the currency mismatch given SKPB Group’s businesses operating in predominantly RM and USD.