IILM CONCLUDES REISSUANCE OF US$1.2 BLN SHORT-TERM SUKUK

KUALA LUMPUR, Sept 13  -- The International Islamic Liquidity Management Corporation (IILM) has reissued a total of US$1.2 billion (US$1=RM4.14) short-term A-1 rated sukuk across three different tenors of one, three, and six-month, respectively.

IILM said the three series were priced competitively at 0.22 per cent for US$400 million for one-month tenor; 0.28 per cent for US$500 million for three-month tenor; and 0.35 per cent for US$300 million for six-month tenor.

"Today’s sukuk reissuance marks the IILM’s ninth sukuk auction for 2021 and the auction garnered strong demand among the Gulf Cooperation Council (GCC)-based Islamic Primary Dealers and investors, resulting in lower pricing compared to last month’s sukuk auction," said IILM in a statement today.

The competitive tender witnessed a strong orderbook in excess of US$2.07 billion, representing an average oversubscription rate of 1.73 times, it added.

"Further to today’s reissuance, the IILM has achieved year-to-date cumulative issuances totaling US$10.56 billion through 27 sukuk series," said IILM. 

The corporation said it will continue to reissue its short-term liquidity instruments monthly as scheduled in its issuance calendar for the last three months of the year.

The IILM is a regular issuer of short-term sukuk across varying tenors and amounts to cater to the liquidity needs of institutions offering Islamic financial services. 

The total amount of IILM sukuk outstanding is now US$3.51 billion.

The IILM short-term sukuk programme is rated A-1 by S&P Global Ratings. 

-- BERNAMA