ETIQA INSURANCE LAUNCHES MAIDEN RM500 MLN TIER 2 CAPITAL SUBORDINATED BONDS

12 Jul 2013 11:19

KUALA LUMPUR, July 5 (Bernama) -- Etiqa Insurance Bhd, the insurance arm of Maybank Group, has issued its maiden Tier-2 capital subordinated bonds of RM500 million.

In a statement here, Etiqa Insurance said the bond, lead-arranged by Maybank Investment Bank Bhd, was rated 'AA1' by RAM Rating Services Bhd.

It carried a tenure of ten years from the date of issuance on a 'ten-year non-call five' basis, it said.

"The bonds will qualify as Tier-2 capital of Etiqa Insurance, subject to compliance with the requirements as specified in the Risk-Based Capital Framework for Insurers issued by Bank Negara Malaysia for purposes of capital adequacy regulation," it said.

Maybank Group chief financial officer/officer-in-charge, Mohamed Rafique Merican Mohd Wahiduddin Merican, said the maiden subordinated bonds were successfully concluded and received a firm and positive response from investors in the capital markets despite challenging global market condition.

"This is a testament to the robust credit profile of Etiqa as Malaysia’s leading insurance group," he said. -- BERNAMA

MI THs