KUALA LUMPUR: Public Bank Bhd
will redeem its RM3bil subordinated notes which were issued in 2011 and callable on Aug 3, ahead of their maturity date in 2022.
The banking group said on Friday the notice of early redemption had been given to the noteholders that it would fully redeem the RM3bil 4.28% subordinated notes together with accrued interest on Aug 3.
Public Bank had on Aug 3, 2011 issued the notes due 2022 but callable on Aug 3 this year
Recall that on Aug 3, 2011, it had issued the fifth tranche of subordinated notes amounting to RM3bil due on Aug 3, 2022 and callable on Aug 3, 2017 under the subordinated medium term notes programme.
It had then said the issuance of the fifth tranche of subordinated notes was to further strengthen the banking group's capital adequacy ratios and had qualified for inclusion as its tier 2 capital under Bank Negara Malaysia's capital adequacy regulations.
The proceeds from the programme was used to finance the working capital, general banking and other corporate purposes.
Win a prize this Mother's Day by subscribing to our annual plan now! T&C applies.
