Lagenda Capital raises RM475m in first sukuk issuance under RM1.5b programme

Lagenda Capital, a wholly-owned subsidiary of Lagenda Properties, has completed its first RM475 million issuance under a RM1.5 billion sukuk wakalah programme. Proceeds will fund Shariah-compliant inter-company advances for affordable housing developments and working capital.

PETALING JAYA (Sept 17): Lagenda Properties Bhd's wholly-owned subsidiary Lagenda Capital Bhd has completed the first RM475 million issuance under its RM1.5 billion sukuk wakalah programme.

In a Bursa Malaysia filing on Thursday (Sept 17), Lagenda Properties said proceeds from the Series 1 sukuk will be used for Shariah-compliant inter-company advances to fund acquisitions and working capital for affordable housing developments, among other purposes.

The RM475 million issuance is secured and unrated, and is not and will not be listed on Bursa Malaysia or any other stock exchange. It is guaranteed by Lagenda Properties.

Lagenda Capital had on July 24 lodged information and documents with the Securities Commission Malaysia for the establishment of the RM1.5 billion sukuk wakalah programme under the Shariah principle of Wakalah Bi Al-Istithmar. The programme has a perpetual tenure, while each sukuk issued under it must have a tenure of at least one year.

Alliance Islamic Bank Bhd and AmInvestment Bank Bhd are the joint principal advisers, joint lead arrangers and joint lead managers for the programme. Alliance Islamic Bank and AmBank Islamic Bhd are the joint Shariah advisers.