KUALA LUMPUR Sep 2Malaysia's central bank has
rejected plans by BIMB Holdings Bhd to issue an
Islamic bond and raise $884 million it needs to gain full
control of Bank Islam, the country's oldest and largest
standalone Islamic bank.
BIMB last month proposed a 10-year Islamic bond or sukuk of
of 1.5 billion ringgit ($456.66 million) as part of a plan to
acquire the 49 percent stake it does not own in Bank Islam held
by Dubai Group and Tabung Haji.
Malaysia's central bank has rejected BIMB's proposal to
secure the sukuk with shares of the company, which will need to
identify an alternative asset for the exercise, BIMB said in an
announcement to the stock exchange on Monday.
"We shall convene a special board meeting and further
announcements will be made in due course," BIMB's chief
executive officer Johan Abdullah told Reuters.
(Reporting by Al-Zaquan Amer Hamzah; Editing by Niluksi