KUALA LUMPUR (Dec 17): Aeon Credit Service (M) Bhd is establishing a RM2 billion sukuk programme to fund disbursements to customers and refinancing of any existing loans/financing/sukuk.

In a bourse filing today, Aeon Credit said the programme allows the company the flexibility to issue both senior sukuk and/or subordinated sukuk, subject to the aggregate outstanding nominal amount of the sukuk to not exceed RM2 billion at any point in time.

“The senior sukuk under the programme has been accorded a rating of AA3 (Stable) by RAM Rating Services Bhd, while the subordinated sukuk is rated A1 (Stable),” it said.

It said the subordinated sukuk will be recognised as capital, for the purpose of meeting the minimum capital adequacy ratio as set out by Bank Negara Malaysia, providing an avenue for the issuer to raise a more cost-efficient and non-shareholdings dilutive capital for the issuer.

CIMB Investment Bank Bhd and Hong Leong Investment Bank Bhd are the joint principal advisers and joint lead arrangers for the sukuk programme, while CIMB Investment Bank, Hong Leong Investment Bank and MUFG Bank (Malaysia) Bhd are the joint lead managers. 

CIMB Islamic Bank Bhd is the shariah adviser for the sukuk programme.

Aeon Credit shares closed unchanged at RM14.70 today, giving it a market capitalisation of RM3.73 billion