PETALING JAYA: Co-opbank Pertama (CBP) has completed its inaugural RM500 million Structured Covered Sukuk Wakalah issuance, marking the first such sukuk issued by a cooperative banking institution in Malaysia.
The issuance was made through its special purpose vehicle, Himayah Sukuk Bhd, under CBP’s RM5 billion Structured Covered Sukuk Programme based on the Shariah principle of Wakalah Bi Al-Istithmar.
The programme is rated AA2 by RAM Rating Services Bhd, reflecting its credit profile and structure.
CBP said the issuance drew demand from a diversified group of institutional investors, including asset management companies, government-linked institutions, takaful and insurance operators, and financial institutions.
The transaction recorded a book-to-cover ratio of 2.97 times and was priced at an average profit rate of 4.20% per annum across five tenures ranging from three to seven years.
The three-year tranche was priced at 4.07%, followed by 4.16% for four years, 4.22% for five years, 4.26% for six years and 4.31% for seven years.
The proceeds will be used to diversify the bank’s funding sources, strengthen liquidity management and support its financing activities and future growth initiatives.
CBP CEO Khairil Anuar Mohammad Anuar said the issuance was a landmark achievement for the bank and reflected investor confidence in its business fundamentals, financial management and strategic direction.
“The strong market reception reflects investors’ confidence in our business fundamentals, prudent financial management and strategic direction.
“This issuance enhances our funding flexibility and strengthens our capacity to continue serving the financing needs of our members and customers while maintaining a strong liquidity position,” he said in a statement.
CBP said the successful issuance supports its strategy to diversify funding sources and expand its presence in the Islamic capital market, while pursuing funding solutions to support long-term growth and financial resilience.
