KUALA LUMPUR (Sept 30): RHB Bank Bhd (KL:RHBBANK) has proposed the establishment of a note programme of up to RM10 billion partly to refinance outstanding borrowings.

The programme allows the group to issue senior notes, tier-2 subordinated notes and/or additional tier-1 capital notes in multi-currency, including ringgit, from time to time, the group said in a bourse filing.

RHB Bank said it lodged the programme with the Securities Commission Malaysia on Monday.

"The proceeds raised from the note programme will be utilised for the RHB Banking Group’s working capital, general banking purposes and/or refinancing of their outstanding borrowings or capital instruments," it added.

RHB Investment Bank Bhd will act as the principal adviser, lead arranger, and lead manager for the issuance.

RHB Bank said the programme also incorporates provisions for the issuance of sustainability notes, which will comply with various sustainability-related guidelines and standards, including the Asean Green Bond Standards, Asean Social Bond Standards, and Asean Sustainability Bond Standards issued by the Asean Capital Markets Forum.

Other standards include the Green Bond Principles, Social Bond Principles, and Sustainability Bond Guidelines issued by the International Capital Market Association.

Shares in RHB Bank ended eight sen or 1.31% higher at RM6.18 on Monday, valuing the group at RM26.94 billion.