KUALA LUMPUR – UOB Malaysia has successfully priced and placed out the issuance of four-year RM323 million Islamic Medium Term Notes (IMTN) by EXSIM Group (EXSIM) at a fixed profit rate of 4.5 per cent per annum. This issuance is the second tranche of EXSIM’S RM2 billion Sukuk Musharakah Programme that monetises future earnings of two sustainable residential development in the Klang Valley.
Ms Ng Wei Wei, Deputy Chief Executive Officer, UOB Malaysia, said, “The successful pricing and placement of the IMTN is testament to our deep understanding of the country’s real estate sector and our capabilities to arrange a deal that monetises future earnings of residential real estate assets that are green and sustainable.”
“At UOB Malaysia, we are committed to helping our clients drive their environmental, social and governance agenda as they meet their investors’ call for companies with sustainable business models and practices.”
The IMTN issuance will be secured against and backed by the executed sales and purchase agreements of EXSIM’s two residential development projects – D’Quince Residences and D’Vervain Residences. These property developments, once completed, are expected to attain Gold Rating certifications from GreenRE that are in line with the United Nations Sustainable Development Goals and World Green Building Council’s commitment towards developing buildings that produce as much (or more) energy than they consume or aim to achieve a net zero future.
Mr Lim Aik Hoe, Managing Director, EXSIM, said, “These two projects will incorporate sustainable features which include solar panels, energy-efficient lightings and air cooling systems, as well as the recycling of rainwater and waste into compost to fertilise the greenery in the buildings’ compounds.
“Our successful IMTN issuance will provide us with liquidity for future development projects for EXSIM to achieve our next level of growth.”
He also added that with the support from UOB Malaysia, this transaction will help EXSIM to sustain the capital expenditure and working capital requirements of any new and existing real estate development projects.
Last year, UOB Malaysia also supported EXSIM’s Sukuk Programmes totalling RM3 billion, secured against the future earnings of the Company’s commercial real estate development, Scarletz Suites in Kuala Lumpur.
Established in 2008, EXSIM specialises in developing high-end residential, commercial and industrial real estate projects within the Klang Valley. To date, EXSIM has officially launched 28 developments with a total gross development value of RM12 billion and an another RM18 billion in the pipeline.