KUALA LUMPUR: UOB Malaysia and HSBC Malaysia have priced a four-year RM350mil medium-term notes (MTN) offering for Mercedes-Benz Services Malaysia Sdn Bhd (MBSM).
In a joint statement, the lenders said the MTN issuance, due in March 2026 at a fixed coupon rate of 3.62 per cent per annum, was rated AAA(s) by RAM Rating Services Bhd.
This represents MBSM’s sixth debt issuance in the ringgit bond market as well as its largest issuance with the highest oversubscription rate to date.
The transaction is part of MBSM’s RM3bil debt offering programme, which was launched in May 2018.
"Despite the prevailing uncertain global market conditions, the MTN issuance managed to garner tight pricing and strong demand from institutional investors to become MBSM’s largest issuance to date.
"This is a clear validation of investors’ confidence of MBSM’s strong credit and proactive liquidity management.
"Amid the current low interest rate environment, UOB Malaysia will continue to support our clients to tap the debt capital market to meet their liquidity needs and optimise their financing structure," said UOB Malaysia deputy CEO Ng Wei Wei.
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