KUALA LUMPUR: Proton Holdings Bhd, via subsidiary Proton Capital Bhd, has concluded the issuance of the second trance of Islamic Medium-Term Note (IMTN) worth RM700 million under its Sukuk Wakalah programme. 

Proton, in a statement, said the IMTN proved to be popular with the investment community and was oversubscribed by almost four times. 

Proton chief financial officer Wang Huaibing said the funds obtained from the sukuk would assist with its expansion plans and working capital.

"The funds obtained will help to finance the company's future expansion plans as well as working capital requirements," he said in a statement.  

He added that Proton was determined to follow through on its growth strategy with several developments on the horizon in the coming years.

"These range from new product launches to penetrating more export markets and entering the new energy vehicle segment. 

"With a total fund size of RM4 billion, there is still a lot of opportunity for more investors to come on board and I am confident that Proton will reward their faith in us," said Wang. 

Proton's Sukuk Wakalah is an Islamic Commercial Papers (ICP) of RM1.0 billion in nominal value which together with an IMTN of RM4.0 billion in nominal value, have a combined limit of up to RM4.0 billion in nominal value based on the Shariah principal of Wakalah Bi Al-Istithmar. 

The second tranche of RM700 million for the IMTN follows on from the first tranche of RM500 million IMTN that was completed in December last year.