Malaysian port operator Westports’ RM5 billion ($1.16 billion) sukuk wakalah programme was the first in the nation’s marine and port sector to offer both sustainability and sustainability-linked notes.
Introduced in 2024, the programme supports the holding’s third supplemental privatisation agreement with Malaysian authorities and underwrites “Westports 2.0”, a capacity-doubling expansion. Management plans are in place to deploy the entire RM5 billion between 2024 and 2028 to fund related capital expenditure.
Investor appetite for the debut tranche underscored confidence in the credit. The inaugural 15-year sukuk raised RM355 million, drew orders exceeding the issue size by more than three times and cleared at a 4.29% yield – roughly 15 basis points tighter than initial guidance.
OCBC steered the deal in multiple capacities, serving as joint principal adviser, lead arranger, lead manager, Shariah adviser and sustainability structuring adviser.
