Sime sukuk sets records, stretches curve with $9bn orders

25 Jan 2013

Malaysian conglomerate Sime Darby drew almost $9bn in orders for its dual-tranche dollar sukuk on Wednesday, smashing records with a low coupon on its five year bond — and becoming the first privately-owned company to push sukuk maturities out to 10 years.

The bookrunners priced a $400m 2.053% January 2018 bond at 130bp over Treasuries, and a $400m 3.209% January 2023 note at 145bp.

It was the longest-dated sukuk from a privately-owned corporation anywhere in the world. Saudi Arabia’s Kingdom Installment did manage to sell a longer-dated deal around seven years ...

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