Malaysia’s MBSB Bank Issues MYR 300 Million Sustainability Sukuk

June 02, 2022 | Updated at June 03, 2022

MBSB Bank Berhad (MBSB) has announced the issuance of MYR 300 million (USD 68.49 million) sustainability Sukuk in two tranches, a 5-years MYR 200 million (USD 46.98 million) offering and a 7-years MYR 100 million (USD 23.49 million) offering, under its MYR 5 billion (USD 1.14 billion) sustainability Sukuk Wakalah programme.

Why it Matters?

The Sukuk represents the first sustainability Sukuk issuance in the local capital markets for a Malaysian Islamic bank. The offering proceeds will fund the bank’s green and social projects which are part of its strategic aim to actively participate in renewable energy and critical services. The offering received a final orderbook of MYR 2.9 billion (USD 661.23 million) with a bid to cover ratio of 10 times.