KLCC Property Upsizes Sukuk Murabahah Programme to RM2 Billion

"Suria KLCC upsizes its sukuk murabahah programme to RM2 billion, securing a AAA rating from RAM Ratings to fund shariah-compliant initiatives, showcasing KLCCP's robust financial strategy and market leadership."

Kuala Lumpur, 02nd Jan 2025, 12.20pm - KLCC Property Holdings Bhd (KLCCP), through its wholly owned unit Suria KLCC Sdn Bhd, has increased its sukuk murabahah programme limit to RM2 billion from RM600 million.

The upsizing followed the maturity of the previous RM600 million issuance on Dec 19, 2023, the company revealed in a Bursa Malaysia filing.

On the same day, Suria KLCC issued a new RM600 million sukuk under the expanded programme. The sukuk carries a tenure of 10.5 years with an annual profit rate of 4%.

The sukuk murabahah programme provides KLCCP with greater flexibility to raise funds for its financial and operational needs, aligning with the group's ongoing strategies for sustainable growth.

This move highlights KLCCP’s strong financial management and commitment to maintaining its leadership in Malaysia’s property sector.

Suria KLCC, the operator of the iconic six-storey Suria KLCC shopping mall in Kuala Lumpur, has announced the upsizing of its sukuk murabahah programme to RM2 billion. The revised programme, effective Dec 31, 2024, follows the maturity of the previous issuance and applies to the 2024 sukuk issuance and all subsequent issuances under the programme.

The sukuk programme has a perpetual tenure and boasts a top-tier AAA long-term rating from RAM Rating Services Bhd. Proceeds raised will fund shariah-compliant purposes, including financing needs, working capital, acquisitions, investments, and capital expenditures.

CIMB Investment Bank Bhd acts as the sole principal adviser, lead arranger, and lead manager, while CIMB Islamic Bank Bhd serves as the shariah adviser for the programme.

KLCCP shares closed nine sen higher at RM8.15 on Tuesday, giving the group a market capitalisation of RM14.7 billion. The upsizing reflects Suria KLCC’s commitment to robust financial planning and strategic growth.