(Corrects second paragraph to show the bond issuance date is immediate)
Dec 9 (Reuters) - Malaysia’s BIMB Holdings Bhd will issue a 1.7 billion ringgit ($525.75 million) Islamic bond to help raise the $884 million it needs to buy the remainder of Bank Islam, the country’s oldest and largest standalone Islamic bank.
The 10-year sukuk will be sold to Tabung Haji, BIMB’s biggest stakeholder, in a private placement, a filing to the central bank on Monday showed. The bond is made available for the six months to May 27, 2014.
BIMB’s plans were initially rejected by the central bank due to a proposal to secure the sukuk with shares of the company .
BIMB in August announced plans to acquire the 49 percent stake it does not own in Bank Islam held by Dubai Group and Tabung Haji.
$1 = 3.2335 Malaysian ringgit Reporting By Al-Zaquan Amer Hamzah; Editing by Kim Coghill