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With the latest listing, it expands the diversity of LFX’s range of financial instruments, which now comprise of six (6) Syariah-compliant certificates (Sukuk), six (6) open-ended funds and sixteen (16) conventional debt securities and exchangeable bonds. This brings the total market capitalisation of LFX to USD10.55 billion (RM40.09 billion).
The latest issue is a 5-year guaranteed exchangeable bonds due 2010 (Exchangeable Bonds) guaranteed by Arab-Malaysian Corporation Berhad (Amcorp). The Exchangeable Bonds will be exchangeable into existing ordinary shares of par value RM1.00 per share of AMMB Holdings Berhad (AHB) held by Amcorp. AHB is a company listed on the Main Board of Bursa Malaysia Securities Berhad whose principal activity is as an investment holding company of an integrated financial services group in Malaysia.
The Exchangeable Bonds involved a firm issue of USD100 million and a green-shoe option for up to a further USD20 million of exchangeable bonds.
“This is another positive achievement for LFX where Malaysian corporations such as the AmCorp group are able to capitalise on the opportunity offered by the offshore exchange to raise funding for its development and business. This listing is auspicious, as it occurs while Malaysia is still celebrating Chinese New Year, and I hope it would continuously reflect the growth and competency of LFX during the challenging years ahead and in its aspiration in becoming the premier offshore exchange in the Asia-Pacific region,” said LFX Board Member Encik Yusli Mohamed Yusoff, who is also the Chief Executive Officer of Bursa Malaysia Berhad.
AmMerchant Bank Berhad (AmMerchant Bank) and Merrill Lynch International (Merrill Lynch) are the joint global coordinators and joint book-runners for the issue. AmMerchant Bank, Merrill Lynch together with Standard Bank Asia Limited are also the joint lead managers.
Amcorp Capital (L) Ltd (“ACLL”) is a special purpose company incorporated as a wholly-owned subsidiary of Amcorp in the Federal Territory of Labuan, Malaysia under the Offshore Companies Act 1990. Amcorp is listed on the Main Board of Bursa Malaysia Securities Berhad and is principally an investment holding company while its subsidiary and associated companies are principally involved in the provision of financial services, property development, construction and property management and information technology.
The proceeds from the issuance of the Exchangeable Bonds will be on-lent by ACLL to Amcorp, who in turn, will use the proceeds to finance directly the subscription of its entitlement for shares in AmInvestment Group Berhad and/or refinance any banking facilities which may have been taken for this purpose, exercise its subscription rights under the Warrants B in AHB and/or repayment of banking facilities and the general working capital requirements of Amcorp.
The listing sponsor for Amcorp is AmInternational (Labuan) Limited. A listing sponsor is primarily responsible to arrange for the listing of instruments on the LFX and for any subsequent post listing obligations arising.
