AMInvestment Bank to manage Lafarge Islamic debt issue

AMInvestment Bank to manage Lafarge Islamic debt issue
Published: 29 March 2010

AMINVESTMENT Bank Bhd has been appointed as the principal adviser, lead arranger and lead manager for the RM350m nominal value Islamic debt papers issuance by Lafarge Malayan Cement Bhd (LMCB).

The programme comprise Islamic commercial papers and/or Islamic medium term notes.

The seven-year AA2/P1 programme, a flexible and efficient Islamic funding platform will enable LMCB to tap liquidity in the domestic and global Islamic capital markets for medium to long-dated funding at a competitive pricing given its strong credit standing and improve its asset and liability management.

LMCB is the leader in the Malaysian cement industry and a major player in the Asian export market with access to the international markets.

The Islamic securities programme will provide LMCB the flexibility to make multiple issues of varying tenures of up to seven years on a "need to" basis when it has funding requirements to meet the general working capital requirements for itself and/or its subsidiaries.

In addition, the programme allows LMCB to enjoy the prevailing short term interest rate via issuance of short term commercial papers or floating rate medium-term notes.