MDV raises RM270m from Islamic medium term notes issuance

Category: MDV in the News Post Date: April 11, 2019

MDV raises RM270m from Islamic medium term notes issuance

KUALA LUMPUR, April 11 — Malaysia Debt Ventures Bhd (MDV) recently raised RM270 million via an Islamic Medium Term Notes (iMTN) issuance under its existing RM1 billion Sukuk Murabahah Programme (Third Fund).

Launched in 2017, the third fund furthers MDV’s ongoing mandate from the government to support development of the nation’s information and communications technology (ICT), green technology and emerging technology sectors via innovative financing, it said in a statement here.

Fully guaranteed by the government, and with a total drawdown of RM500 million to-date, the fund also aims to increase awareness of the socio-economic benefits of Islamic financing, while at the same time expanding MDV customers’ financing options to meet their growth requirements.

The fund also illustrates the government’s continuing support and commitment towards developing the country’s technology sector and MDV’s efforts at providing flexible and innovative financing facilities.

“This financing will foster the expansion of high-value start-ups and early stage companies from high-impact technology sectors of the economy, thus, catalysing the development and advancement of the country’s technology sector,” said MDV.

As a technology financier, this issuance of RM270 million proves MDV’s commitment to filling the financing gap faced by technology-based Small and Medium-Sized Enterprises (SMEs).

To date, MDV has financed 760 companies and made disbursements of more than RM11.7 billion from its first and second funds.

MDV has also fully repaid its First Fund from the Japan Bank for International Cooperation (JBIC) of RM1.6 billion, and is making scheduled payments of its RM 1.5 Billion iMTN (second fund), which is to be fully repaid by 2023.

Source: Bernama