| Type | Announcement |
| Subject | MALAYAN BANKING BERHAD ("MAYBANK" OR "THE COMPANY") PROPOSED RENOUNCEABLE RIGHTS ISSUE ON THE BASIS OF NINE (9) ORDINARY SHARES OF RM1.00 EACH IN MAYBANK (“RIGHTS SHARES”) FOR EVERY TWENTY (20) EXISTING ORDINARY SHARES OF RM1.00 EACH HELD IN MAYBANK (“SHARES”) (“PROPOSED RIGHTS ISSUE”) |
| Contents | We refer to the announcement dated 27 February 2009 in relation to the Proposed Rights Issue. On behalf of the Board of Directors of Maybank, Maybank Investment Bank Berhad (“Maybank IB”) (formerly known as Aseambankers Malaysia Berhad) is pleased to announce that the issue price of the Rights Shares has been fixed at RM2.74 per Rights Share. The issue price of RM2.74 is arrived at after taking into consideration the price of RM4.82 per Share based on the closing price of Maybank Shares traded on Bursa Malaysia Securities Berhad (“Bursa Securities”) as at 5 March 2009 and represents a discount of 34.4% from the theoretical ex-rights price of RM4.17 per Share and a discount of 43.2% to the closing price of RM4.82 of Maybank Shares as at 5 March 2009. We are also pleased to announce that Maybank has received undertakings from Permodalan Nasional Berhad (“PNB”) and certain unit trust funds managed by Amanah Saham Nasional Berhad, a wholly owned subsidiary of PNB to subscribe for their respective entitlements totaling approximately 55.7% of the Proposed Rights Issue. In addition, as part of its undertaking, PNB has agreed to apply for excess allocation of 20% of the Proposed Rights Issue. Maybank has also received a letter of undertaking from the Employees Provident Fund (“EPF”) to subscribe for its entitlement of approximately 13.7% of the Proposed Rights Issue (“EPF Portion”), provided the traded market price of Maybank shares is not below the issue price of RM2.74 on the date of subscription. With the strong support from EPF, a waiver from the Securities Commission is being sought to exempt the EPF Portion from being underwritten. Maybank will still proceed with the Proposed Rights Issue in the unlikely event the EPF Portion is not taken up. Based on the above, Maybank has significant support from its substantial shareholders for the Proposed Rights Issue of up to approximately 89.4% of the Proposed Rights Issue. Maybank has further obtained underwriting commitments from MIDF Amanah Investment Bank Berhad and RHB Investment Bank Berhad, the Joint Lead Underwriters, for the balance of the remaining Rights Shares. Maybank IB is the Sole Financial Adviser, Joint Global Co-ordinator and Joint Lead Manager, while Credit Suisse Securities (Malaysia) Sdn Bhd and Goldman Sachs (Singapore) Pte. are the Joint Global Co-ordinators and Joint International Lead Managers for the Proposed Rights Issue. This announcement is dated 5 March 2009. |
| Not for distribution in the United States This release is not an offer for sale of the securities in the United States. The Rights Shares and Provision Allotment Rights may not be offered or sold in the United State absent registration or an exemption from registration under the U.S. Securities Act. Neither the Company nor any seller of securities intends to register any portion of any offering in the United States or to conduct a public offering of securities in the United States. |
| Company Name | MALAYAN BANKING BERHAD |
| Stock Name | MAYBANK |
| Date Announced | 5 Mar 2009 |
| Category | General Announcement |
| Reference No | MI-090303-69032 |