KUALA LUMPUR (Feb 8): MALAYAN BANKING BHD []’s US$400 million senior notes were allocated to high-quality investors and were five times oversubscribed.
Maybank said on Wednesday the US$400 million Regulation “S” senior unsecured notes were under its US$2.0 billion multicurrency medium term note programme.
“This is Maybank's first transaction in the US dollar bond markets since 2007 and the Senior Notes carry the lowest coupon by any Asia ex-Japan financial institution borrower since September 2010,” it said.
The transaction was priced at five-year US Treasury + 230 basis points or a yield of 3.004% and carried a coupon of 3% per annum payable semi annually in arrears.
The senior notes will have a tenor of five years, maturing on Feb 10, 2017. The senior notes are expected to be rated A- (stable) by Standard and Poor's Ratings Services and A- (stable) by Fitch Ratings.
Of the US$400 million senior notes, it said Asian investors were allocated 94% and European investors 6%. In terms of investors, banks were allocated 41% of the issue, insurance companies 26%, asset managers 14%, private banks 10% and public institutions 9%.
Maybank said the proceeds would be used for working capital, general banking and other corporate purposes.
The senior notes were expected to be listed on the Singapore Exchange Securities Trading Ltd and the Labuan International Financial Exchange Inc.
Maybank president and chief executive officer Datuk Seri Abdul Wahid Omar said: “The strong order book and the fine pricing is a testimony of international investors' recognition of Maybank’s financial strength and support of our credit.
“Investors have responded enthusiastically to the opportunity to buy into our senior issuance and this exhibits confidence in our bank. The book size was robust with over US$2 billion in orders drawn from a well diversified investor base.”
Barclays Bank PLC and Maybank Investment Bank were the joint lead managers and bookrunners for the transaction.
Maybank said on Wednesday the US$400 million Regulation “S” senior unsecured notes were under its US$2.0 billion multicurrency medium term note programme.
“This is Maybank's first transaction in the US dollar bond markets since 2007 and the Senior Notes carry the lowest coupon by any Asia ex-Japan financial institution borrower since September 2010,” it said.
The transaction was priced at five-year US Treasury + 230 basis points or a yield of 3.004% and carried a coupon of 3% per annum payable semi annually in arrears.
The senior notes will have a tenor of five years, maturing on Feb 10, 2017. The senior notes are expected to be rated A- (stable) by Standard and Poor's Ratings Services and A- (stable) by Fitch Ratings.
Of the US$400 million senior notes, it said Asian investors were allocated 94% and European investors 6%. In terms of investors, banks were allocated 41% of the issue, insurance companies 26%, asset managers 14%, private banks 10% and public institutions 9%.
Maybank said the proceeds would be used for working capital, general banking and other corporate purposes.
The senior notes were expected to be listed on the Singapore Exchange Securities Trading Ltd and the Labuan International Financial Exchange Inc.
Maybank president and chief executive officer Datuk Seri Abdul Wahid Omar said: “The strong order book and the fine pricing is a testimony of international investors' recognition of Maybank’s financial strength and support of our credit.
“Investors have responded enthusiastically to the opportunity to buy into our senior issuance and this exhibits confidence in our bank. The book size was robust with over US$2 billion in orders drawn from a well diversified investor base.”
Barclays Bank PLC and Maybank Investment Bank were the joint lead managers and bookrunners for the transaction.
