Glomac launches inaugural RM3b sukuk programme with Maybank

• Glomac group managing director and CEO Datuk Seri FD Iskandar Mohamed Mansor said the programme would fortify the group’s financial reserves and enhance its ability to seize land banking opportunities.

KUALA LUMPUR (Feb 13): Property developer Glomac Bhd (KL:GLOMAC) has established an Islamic medium-term note (IMTN) programme of up to RM3 billion in nominal value with Malayan Banking Bhd (KL:MAYBANK), to be utilised for land acquisition, capital expenditure and working capital.

Glomac group managing director and CEO Datuk Seri FD Iskandar Mohamed Mansor said the programme would fortify the group’s financial reserves and enhance its ability to seize land banking opportunities.

He also noted that the sukuk wakalah programme forms part of a broader strategy to optimise Glomac's liabilities and support its long-term growth initiatives.

"It (the sukuk programme) gives access to capital whenever there is a need for it and as a strategic move by Glomac to be in a position where we have the capacity to undertake opportunities when they come by.

“This initiative paves our way for enhanced financial stability and growth," he said in a statement on Thursday.

Maybank Investment Bank chief executive officer Michael Oh-Lau said the sukuk wakalah programme allows Glomac an option to issue either rated or unrated sukuk, including sustainable formats, aligning with the company's long-term funding needs.

"Maybank is honoured to play a significant role in Glomac’s maiden foray into the debt capital market by providing seamless, holistic solutions leveraging our strengths in global banking, capital markets and Islamic Finance," he said.

As part of its growth strategy, Glomac said it is also exploring ventures beyond its core property development business, including property investments, construction and green energy initiatives.

With a land bank valued at approximately RM7 billion in gross development value (GDV), Glomac added that it will continue to focus on projects in Greater Kuala Lumpur and Johor, targeting the affordable and mid-market residential segments.

Maybank Investment Bank served as the sole principal adviser, sole lead arranger and sole lead manager for the programme, with Maybank Islamic Bhd acting as shariah adviser.

Shares of Glomac closed down 0.5 sen or 1.28% to 38.5 sen on Thursday for a market capitalisation of RM308.03 million.

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