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Etiqa Insurance Launches Tier 2 Capital Subordinated Bonds

05 July 2013

2 min read

Etiqa Insurance Launches Maiden RM500,000,000 Tier 2 Capital Subordinated Bonds

 

Etiqa Insurance Berhad (“Etiqa Insurance”), the insurance arm of Maybank Group, today issued its maiden Tier-2 Capital Subordinated Bonds of RM500,000,000 (“Subordinated Bonds”).

 

The bond facility lead arranged by Maybank Investment Bank Berhad was rated AA1 by RAM Rating Services Bhd. It carries a tenure of 10 years from the date of issuance on a 10 non-callable 5 basis.

 

Maybank Group Chief Financial Officer & Officer-in-Charge, Mohamed Rafique Merican Mohd Wahiduddin Merican said, “The maiden Subordinated Bonds offered by Etiqa Insurance were successfully concluded and received a firm and positive response from investors in the capital markets despite challenging global market condition. This is a testament to the robust credit profile of Etiqa as Malaysia’s leading insurance group.”

 

The RM500,000,000 Subordinated Bonds will qualify as Tier-2 Capital of Etiqa Insurance, subject to compliance with the requirements as specified in the Risk-Based Capital Framework for Insurers issued by Bank Negara Malaysia for purposes of capital adequacy regulation.

 

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