KUALA LUMPUR (June 28): Clean energy solutions provider Solarvest Holdings Bhd has made a lodgement with the Securities Commission Malaysia (SC) to establish an Islamic medium-term notes (IMTN) programme and an Islamic commercial papers (ICP) programme with a combined limit of up to RM1 billion.

Solarvest may also issue sustainable and responsible investment IMTNs in accordance with its sustainability sukuk framework and the sustainability guidelines defined in SC Guidelines on Unlisted Capital Market Products, under the overall IMTN programme.

The IMTN programme has a tenure of 30 years while the ICP programme has a tenure of seven years from the date of first issue.

RAM Rating Services Bhd has assigned a stable outlook and preliminary credit ratings of A1 (long-term) to the IMTN programme and P1 (short-term) to the ICP programme.

Meanwhile, Malaysian Rating Corp Bhd has assigned a "Gold" impact assessment to Solarvest's sustainability sukuk framework.

According to Solarvest's group chief executive officer and executive director Davis Chong Chun Shiong, the sukuk programme affords the group a "robust war chest" to fulfil both its short-term and long-term funding needs in speeding up its growth.

"This access to the debt capital will diversify our funding sources and allow us to reach out to a wider pool of sophisticated investors, which significantly enhance our capacity to undertake larger-scale projects, both domestically and internationally, enabling us to seize opportunities swiftly as they arise.

“The funds raised will be allocated towards capital expenditure, working capital, acquisition of projects, investments and assets that align with our long-term vision. Notably, the timing is opportune as we anticipate the announcement of quota awards under the 800-megawatts Corporate Green Power Programme," he added.

RHB Investment Bank Bhd is the principal adviser, lead arranger, lead manager, and facility agent for the sukuk programmes, while RHB Islamic Bank Bhd is the Shariah adviser.

RHB Investment Bank is also the framework adviser for the sustainability sukuk framework.

Solarvest closed up two sen or 1.75% to RM1.16, for a market capitalisation of RM774.36 million.