Malakoff Corporation Bhd, through its wholly owned subsidiary Malakoff Power Bhd, has successfully raised RM450 million with the issuance of ASEAN’s first Sustainability-Linked and Responsible Investment (SRI) Sukuk Murabahah. This achievement marks an important milestone in advancing sustainable finance across the region.
The sukuk was issued under the company’s RM1.2 billion Islamic Medium-Term Notes Programme and is aligned with Malaysia’s National Energy Transition Roadmap (NETR) and its Net Zero Emissions 2050 target. The move supports Malakoff’s long-term strategy to transition towards a cleaner and more sustainable energy portfolio.
Group Chief Executive Officer Syahrunizam Samsudin said the issuance reflects Malakoff’s forward-looking direction. He noted that the company remains focused on delivering reliable power while gradually expanding its lower-carbon energy capacity.
He added that Malakoff is actively growing its renewable energy portfolio through solar and hydropower projects, while also utilising high-efficiency gas as a key transition fuel to ensure energy stability during the shift.
Meanwhile, Maybank Investment Bank Chief Executive Officer Michael Oh-Lau described the transaction as a significant step in strengthening ASEAN’s sustainable finance landscape. He highlighted that the deal demonstrates increasing investor appetite for credible and impactful transition financing.
He also reaffirmed Maybank’s commitment under its ROAR30 strategic plan to mobilise RM300 billion in sustainable finance by 2030, aimed at supporting sustainable growth for clients, communities, and the broader economy.
The sukuk issuance received strong demand from investors, with the order book reaching nearly five times the offering size and achieving an oversubscription rate of 4.5 times.
Proceeds from the issuance will be used to fund eligible green and transitional projects under Malakoff’s sustainable finance framework. These initiatives are aligned with the ASEAN Taxonomy for Sustainable Finance (Version 2).
Maybank Investment Bank acted as the sole lead manager, facility agent, and sustainability structuring adviser for the issuance, while Maybank Islamic Bank served as the Shariah adviser.