COUNTRY REPORT MALAYSIA(US$438m then) one-year revolving credit
through arranger SMBC.
› MARUBENI ROLLS OVER REVOLVER
Trading house MARUBENI CORP rolled over last
month its annual US$555m 364-day revolving
credit facility.
Citigroup was the arranger, while Credit
Agricole came in to share the mandated lead
arranger title, as in the rollover completed
in February 2017.
Also joining were all existing lenders,
including ANZ, Bank of America Merrill Lynch,
BNP Paribas, Deutsche Bank, HSBC, ING Bank, JP
Morgan, Societe Generale and Standard Chartered.
The new facility pays a 60bp all-in pricing
via an interest margin of 50bp over yen
Libor and a facility fee of 10bp, unchanged
from the 2017 loan.
Marubeni, rated Baa2/BBB/A+/A (Moody’s/
S&P/JCR/R&I), posted a surge of 53% in net
profit for the April-December period and
lifted its full-year forecast by 18%, on a
boost from higher copper and coal prices.
› JAL SIGNS AIRCRAFT FINANCING
JAPAN AIRLINES signed last Friday with 16
lenders a ¥21.8bn aircraft financing,
carrying a guarantee from Japan Bank for
International Cooperation.
MUFG and Mizuho Bank were mandated
lead arrangers on the 10-year loan, while
SMBC was co-arranger, a source said.
Funds are to buy aircraft from Boeing.
Last March, the borrower obtained a
¥20.9bn 10-year JBIC-guaranteed aircraft
financing.
› PROLOGIS REIT SIGNS TAKE-OUT
Tokyo-listed NIPPON PROLOGIS REIT said it signed
on Friday a ¥11.8bn 10-year bullet term
loan to take out partially a ¥32.2bn two-
year bridge loan funded on March 1.
The latest loan pays an interest margin of
30bp over one-month Tibor.
MUFG and SMBC were mandated lead
arrangers, while Development Bank of Japan,
Mizuho Bank, Resona Bank and Sumitomo Mitsui
Trust Bank joined in syndication. Drawdown
was slated for last Tuesday.
The borrower will use proceeds from
the loan and cash to pay back the ¥32.2bn
bridge from MUFG and SMBC, which pays a
margin of 20bp over one-month Tibor.
EQUITY CAPITAL MARKETS
› DAIWA REIT COMPLETES FOLLOW-ON
DAIWA HOUSE REIT INVESTMENT has raised ¥53bn
(US$500m) from a global offering of new
investment units.
The company sold 222,000 units,
comprising 150,900 via a Japanese public
offering and 71,100 via an international
offering.
The units were sold at ¥239,806 each, or
a 2% discount to the pre-deal spot.
There is an over-allotment option of up
to 15,000 units.
There is a 90-day lock-up for the issuer
and a 180-day lock-up for sponsor Daiwa
House Industry.
The company will mainly use the
proceeds to purchase 16 additional
properties.
Daiwa, Morgan Stanley and Nomura were
the joint global coordinators, and joint
bookrunners on the international offering.MALAYSIA
DEBT CAPITAL MARKETS
› OSK UNIT PLANS ISLAMIC MTNProperty developer OSK I CM, a unit of OSK
Holdings, has set up a M$1.8bn (US$467m)
Islamic MTN programme under the
murabahah concept.
Maybank and RHB are joint principal
advisers, lead arrangers, lead managers and
bookrunners on the unrated programme.
Proceeds will be used for sharia-compliant
activities, including working capital and
debt refinancing needs.
The Malaysia-based company and
investor OSK Holdings has M$827m of
outstanding bonds, according to Thomson
Reuters data.› SOLID DEMAND FOR PUTRAJAYA SUKUKPUTRAJAYA BINA sold four-tranche Islamic
bonds last Thursday in line with final price
guidance, but, despite strong demand, kept
the issue size at M$600m.
The offering was 4x covered, but the
Malaysian construction company did not
lift the size as it did not need additional
funds.
A three-year tranche pays 4.34%, a five-
year pays 4.50%, a seven-year pays 4.56%
and a 10-year pays 4.77%. The size of each
tranche was M$150m. Respective price
guidance was 4.20%–4.35%, 4.40%–4.54%,
4.50%–4.60% and 4.70%–4.80%.
AmInvestment Bank, CIMB and Maybank
were joint lead managers for the trade,
which settles in the week of March 26.
The notes will be drawn from a M$1.58bn
sukuk wakalah programme.› GAMUDA PLACES M$400M BONDSGAMUDA has raised M$400m from a private
placement of five-year bonds at 4.875%
through joint lead managers AmInvestment
Bank and CIMB.
The new notes, with a AA3 rating from
RAM, were settled last Friday.
The Malaysian construction and
engineering company has M$400m of 4.17%
bonds, maturing on March 21.› AMMB RAISES T2 CAPITALAMMB HOLDINGS has raised M$350m from the
sale of 10-year non-call five subordinated
notes at 5.23%.
The Malaysian financial institution, a
AA3 credit to RAM, will use the proceeds
to invest in capital instruments issued
by subsidiaries, including AmBank and
AmInvestment Bank.
The subordinated notes, rated A1,
will qualify as Tier 2 capital and will be
drawn from a M$10bn subordinated notes
programme. They will be callable on March
14 2023.› SUNWAY SELLS PERPETUAL SUKUKSUNWAY has printed M$200m of Islamic
perpetual securities in its first issue off
a newly established M$5bn Islamic MTN
programme.
The perpetual sukuk, with a call option
in year five, pays 5.5%.
Settlement of the notes, which will
not be listed on any exchange, was done
on March 9 after the Malaysian property
company privately placed the paper to
Kenanga Investors.
Kenanga Investment Bank is principal
adviser and lead arranger on the
programme, as well as lead manager for the
print.› ECO SETS UP MTN PROGRAMMEMalaysia’s ECO BOTANIC has established a
M$250m MTN programme, which state-
owned insurer Danajamin Nasional will
partly guarantee.
The programme involves M$100m of
unrated notes on a standalone basis and a
further M$150m of unrated notes, wrapped
with a Danajamin guarantee.
Proceeds will be used partly to fund
the development projects at the Eco
Botanic township, which is being
developed in Johor. Eco Botanic is a
unit of property developer Eco World
Development Group.
MIDF Amanah Investment Bank is principal
adviser, lead arranger and lead manager on
the programme.