Affin Bank Berhad has announced that it had completed the private placement of RM500 million of its Subordinated MTNs under the MTN Programme, to selected investors (“Third Series Subordinated MTNs”).
The Third Series Subordinated MTNs will be issued with a tenure of 10 years from the issue date on a 10 non-callable 5 basis and will bear coupon at a rate of 5.0% per annum, payable semi-annually in arrears. The Subordinated MTNs have been assigned a rating of A1 by RAM Rating Services Berhad.
Affin intends to use the net proceeds of the private placement for general banking, working capital requirements, and business purposes of the group. The issuance, it adds will further enhance the bank’s Total Capital Ratio by more than 140 basis points
The issuance is under the bank’s existing Medium Term Notes programme of up to RM6 billion in nominal value (MTN programme)