Bumitama Agri has issued 700 million ringgit (S$231.67 million or US$170.23 million) of Islamic medium-term notes (IMTN) in two tranches under its 2.0 billion ringgit note program, the palm oil producer said in a filing to SGX Monday.
One of the IMTNs is for 300 million ringgit with a five-year term, maturing on 22 July 2024, while other IMTN is for 400 million ringgit with a seven-year term, maturing on 22 July 2026, Bumitama Agri said.
The IMTNs were priced on a book build basis with a fixed-coupon distribution rate of 4.10 percent and 4.20 percent respectively, the company said.
The net proceeds will be used to refinance existing debt, capital expenditure, working capital, investments and general corporate purposes, all in compliance with Shariah principles, the company said.
The notes won’t be listed on any stock exchange, the filing said.
Bumitama Agri said it entered cross currency interest rate swap transactions with Malayan Banking and OCBC Bank Malaysia.
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