TNB sukuk to fund overseas jobs
Tenaga Nasional Bhd (TNB) is asking bankers to submit pitches for a US$3 billion (RM13 billion) sukuk programme, and proceeds will be used to fund overseas investments, including the purchase of a 30 per cent stake in Turkish power firm Gama Enerji AS for US$243 million. The company last issued dollar-denominated debt in 1996, when it sold 100-year conventional notes. Bankers’ proposals for TNB’s sukuk programme had to be submitted by the end of this week. TNB is rated “BBB+”, the third-lowest investment grade by Standard & Poor’s and Fitch Ratings. The yield on the company’s existing conventional dollar bonds due 2025 climbed 31 basis points last year to 4.39 per cent and was 4.33 per cent yesterday.
Syndicate
