Kuala lumpur: PBA Holdings Bhd’s wholly-owned subsidiary, Perbadanan Bekalan Air Pulau Pinang Sdn Bhd (PBAPP), has submitted the necessary documents to the Securities Commission Malaysia to establish an Islamic medium-term notes programme, known as sukuk wakalah, valued at up to RM5 billion.

According to BERNAMA News Agency, PBAHB’s filing with Bursa Malaysia outlines that the funds raised through the sukuk wakalah programme will be directed towards various shariah-compliant objectives. These objectives include meeting the working capital requirements, capital expenditures, investments, and other corporate purposes of the issuer and its group of companies. Additionally, the proceeds will be used to refinance existing and future shariah-compliant financing and borrowings of the PBAHB group.

The filing also specifies that part of the funds will be allocated to cover fees, costs, and expenses associated with the establishment and issuance of the sukuk wakalah programme. Moreover, the proceeds are intended to refinance future maturing sukuk wakalah.