RHB Bank completes first issuance of senior notes worth US$300 mil

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KUALA LUMPUR (Oct 3): RHB Bank Bhd has completed the first issuance of senior unsecured notes worth US$300 million, under its US$5 billion Euro Medium Term Note Programme.

"The transaction was 3.7 times oversubscribed and the order book was well diversified," said RHB Bank in a statement released to Bursa Malaysia this evening.

"In terms of investors’ type, fund managers were allocated 59% of the issue, while banks and insurance companies were allocated 27% and 8% respectively, and others 6%," it added.

The senior notes are rated A3 by Moody’s Investors Service Inc. and BBB+ by Standard & Poor’s Rating Services.

The senior notes will have a tenure of five years, maturing on Oct 3, 2019, and are expected to be listed on the Singapore Exchange Securities Trading Ltd and Labuan International Financial Exchange Inc.

The notes will pay a coupon of 3.088% per annum.

The net proceeds from the issuance will be used by RHB Bank and its subsidiaries for general working capital purposes.