Linklaters advises on Permodalan Nasional Berhad’s inaugural US$300m secured exchangeable sukuk

Linklaters advised the joint lead managers on the issuance of Permodalan Nasional Berhad (PNB)’s first-ever secured exchangeable sukuk, raising US$300m to support the state-owned Malaysian asset manager’s global investment and diversification strategy.

This landmark offering will be exchangeable into ordinary shares of Gamuda Berhad, an engineering, property and infrastructure company with operations across Asia, Australia and the United Kingdom. Proceeds from the offering have been earmarked for investments in investment-grade global sukuk assets. This transaction also marks the first secured exchangeable sukuk issuance from a Malaysian issuer, featuring a unique security structure that sets an important benchmark for the market.

The sukuk offering attracted strong interest from equity-linked investors, including long-only and multi-strategy funds across Asia and Europe.

The cross-practice Linklaters team was led by capital markets partner Jonathan Horan and financial regulation and structured finance & derivatives partner Evan Lam. They were supported by managing associates Daryl Bryan Chee and Helen Zhou.