KUALA LUMPUR, June 4 Malaysian state investor Khazanah Nasional Bhd plans to sell up to $750 million worth of U.S. dollar-denominated bonds, exchangeable into shares, to raise funds for general corporate purposes.
Khazanah will sell $500 million of bonds maturing in five years and an additional $250 million worth in the event of exceptional demand, the fund said in a term sheet seen by Reuters on Wednesday.
The bonds will be exchangeable into shares of Tenaga Nasional Bhd, Malaysia's largest electricity utility, at a premium of 10 percent to 20 percent over a reference price of 11.98 ringgit ($3.71).
Khazanah has approval to list the bonds in Kuala Lumpur, the Malaysian territory of Labuan, and Hong Kong.
JP Morgan, CIMB and Nomura will act as joint bookrunners for the sale.
Khazanah last sold bonds in October, when it raised S$600 million ($477.23 million) in Singapore dollar-denominated sukuk - or Islamic bonds - exchangeable for shares in IHH Healthcare Bhd. ($1 = 3.2290 Malaysian Ringgit) ($1 = 1.2573 Singapore Dollars) (Reporting by Al-Zaquan Amer Hamzah; Editing by Christopher Cushing)