Malaysian Airline System Bhd (MAS) has issued the second tranche of RM500mil under its RM2.5bil perpetual junior sukuk. MAS, in its filing to Bursa Malaysia yesterday, did not dislose the subscriber for the latest issuance. The carrier's first tranche of RM1bil was fully subscribed by government-owned Kumpulan Wang Persaraan (KWAP) in June this year. MAS said the RM500mil junior sukuk was issued at par and carries a semi-annual profit rate of 6.9% per annum up to year 10. If MAS does not exercise its option to redeem at the end of the 10th year, the periodic distribution increases by 2.5%. The proceeds raised from the issuance is meant for its working capital requirements and refinancing of existing borrowings, MAS noted.  ' Business Times