Name of borrower: Johor Corporation
Amount: RM1.5 billion
Tenor: Seven, 10, 15 years
Underwriter: Maybank Islamic, AmInvestment Bank
Date: July 6, 2023
Johor Corporation's RM1.5 billion ($310 million) inaugural guaranteed sukuk is the best sukuk deal in Malaysia.
The transaction is the first state-guaranteed sukuk programme in Malaysia. It is guaranteed by the Johor Stated Government and structured according to the shariah principle of wakala bi al-istithmar.
The deal attracted 47 investors, including asset-management companies, insurance firms, government agencies and foreign investors. It was oversubscribed by 4.1 times and was increased from an initial RM1.3 billion to RM1.5 billion. Additionally, the pricing was tightened by 15 basis points across all tenors of seven, 10 and 15 years.
The issuance was coordinated by joint lead managers AmInvestment Bank and Maybank Islamic.