KUALA LUMPUR, June 22 Malaysia will begin
meeting investors on Wednesday to market its $2 billion global
sukuk offering, sources with direct knowledge of the plan said.
In its second global sukuk sale in as many years, Malaysia
aims to sell two tranches of Islamic bonds with maturities of
five and 10 years, one of the sources said.
The roadshow will start in Kuala Lumpur and move on to
Singapore, Hong Kong and the Middle East, with pricing expected
to take place by end-June, both sources said.
Government officials were not immediately available for
Sources with direct knowledge of the matter had earlier told
Reuters the government would issue the sukuk under the wakala or
Islamic agency structure. The joint lead managers for the sale
are Citi , HSBC , CIMB and Malayan
The Southeast Asian country, which has the world's largest
sukuk market, last tapped the global market in May 2010 when it
sold $1.25 billion of five-year sukuk ijara or Islamic leasing
bonds at a yield of 3.928 percent.
Issuers such as the Indonesian and Nigerian governments,
HSBC Middle East, Bahrain's Al Baraka Bank and Qatar
Islamic Bank are also eyeing sukuk sales.
Islamic bond issuance fell 26 percent to $14 billion in 2010
in the aftermath of Dubai's debt restructuring and high-profile
sukuk defaults that exposed legal uncertainties surrounding
these instruments, according to Thomson Reuters data.
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(Reporting by Liau Y-Sing)