FGV Holdings to Issue Combined USD 119.6 Million Worth of Sukuk Across Eight Tranches

Malaysia-based agri-business FGV Holdings (FGV) will be issuing a combined MYR 500 million (USD 119.6 million) worth of Sukuk in the form of Islamic medium-term notes (IMTN) across eight tranches on the 31st of December 2021, according to updates on the Bond and Sukuk Information Exchange’s (BIX) website. The Sukuk is based on the Shariah principle of Murabahah via Tawarruq.

Why it Matters?

FGV’s eight Sukuk tranches will have tenures of between one and eight years and will pay profit rates between 4.47% and 5.63% a year, according to BIX. Tranches 1 – 4 will have an issue size of MYR 50 million (USD 12 million) each, while Tranches 5 – 8 will have an issue size of MYR 75 million (USD 17.9 million) each. All tranches are unrat...