Alliance Bank Malaysia Bhd has successfully issued RM1.2 billion Basel III-compliant Tier 2 Subordinated Medium Term Notes (Sub-MTNs) under its existing RM2 billion Sub-MTN programme.
Alliance Bank has the option to redeem the Sub-MTNs five years before the stated maturities,” it said, adding that it has RM1.2 billion existing Sub-MTNs, namely tranches of RM900 million and RM300 million, callable on Oct 27 and Dec 18 this year respectively. During the book-building exercise, only RM900 million Sub-MTNs were offered initially to investors to replace the Sub-MTNs that were callable this month. Due to overwhelming demand from investors with more than two times book cover, the bank decided to upsize the offerings, bringing the total issue to RM1.2 billion in a single tap. The auction closed with the Sub-MTNs priced competitively between 3.60% per annum and 4.05% per annum
Alliance Bank group chief executive officer (CEO) Joel Kornreich said the success of this transaction reflects investors’ confidence in the bank’s financial strength and long-term prospects. We are pleased that they recognise the bank’s efforts in helping our customers weather the current pandemic while keeping the bank safe.Meanwhile, Alliance Investment Bank CEO Michael Ng said the transaction demonstrated the resilience of the Malaysian debt capital market, which remains a viable option for companies to diversify funding sources. While investors remain selective, there is currently ample liquidity available and investors are looking for bonds or sukuk with strong credit ratings to stabilise portfolio returns,
Bank will still make money even we change gov again. It might be temporary draw back , long run will still go back to it NTA level. I still look forward for a 3.50 - 4.00 level. highly this quarter report will positive to share price.
Maybank IB Retail Research 11 corporates that Maybank IB covers released results last Friday (27 Nov). Four were above expectations, six came in within expectations while one was below expectation. A quick review: Above expectations: Public Bank (Hold, TP: MYR18.80), Hong Leong Financial Group (Hold, TP: MYR16.00), Alliance Bank (Hold, TP: MYR2.85), Axiata Group (Hold, TP: MYR3.90) Below expectation: CIMB Group (Hold, TP: MYR3.85) Within expectations: Hong Leong Bank (Buy, TP: MYR19.10), Padini (Buy, TP: MYR3.27), Sunway (Buy, TP: MYR1.55), Greatech Technology (Hold, TP: MYR8.90), QL Resources (Sell, TP: MYR4.53), Icon Offshore (Sell, TP: MYRO.07)
While asset quality has been a concern to the banks given the strong economic headwinds, nonetheless half of the banks have achieved better sequential performance. Some see this as a saving grace that the country’s banking system is resilient, a critical factor that is needed for the domestic economy to bounce back. Malayan Banking Bhd (Maybank) was the only lender that saw its net profit double or up 107.32% q-o-q in net profit for 3Q20. The banking group also declared an interim dividend of 13.5 sen per share during the quarter. Other than Maybank, BIMB was the only other bank that declared a dividend of 12.6 sen per share in the quarter. However, on a y-o-y basis, it is down 2.32% — still considered a commendable achievement. RHB Bank Bhd (+55.3% q-o-q), Public Bank Bhd (+39.03% q-o-q) and Hong Leong Bank Bhd (+28.01% q-o-q) achieved solid double-digit growth for 3Q20 as most of them made large loan loss provisions in the preceding quarter in preparation to withstand the headwinds. Among others, AMMB Holdings Bhd saw the biggest drop by 35.01% q-o-q in 3Q20, followed by CIMB Group Holdings Bhd (-29.82% q-o-q), Affin Bank Bhd (-27.72% q-o-q), BIMB Holdings Bhd (-11.25% q-o-q) and Alliance Bank Malaysia Bhd (-0.35% q-o-q).
Operators have not collect enough. Small investors are piling. That is why operators not pushing the price up. Ones they collect enough they push it up to at RM3-50?????
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
liegelord
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Posted by liegelord > 2020-10-22 16:02 | Report Abuse
luckily didnt buy...