CIMB Bank Berhad (CIMB) has successfully priced its maiden RMB3.0 billion three-year Panda Bond, marking the largest single-tranche issuance ever by a Malaysian institution in the China Interbank Bond Market.
The bond, which carries a fixed coupon rate of 2.18%, attracted strong investor appetite with an order book reaching RMB4.64 billion. The oversubscription reflects growing confidence in CIMB’s credit strength and further diversifies the bank’s investor base across both onshore and offshore institutional investors.
The issuance also stands out as the second-largest Panda Bond ever issued by an ASEAN institution, achieving the lowest coupon rate on record for any ASEAN issuer to date. China Chengxin Credit Rating Group (CCXI) assigned the bond its highest AAA rating.
According to CIMB, the proceeds will support the expansion of its local and cross-border businesses, bolstering trade and finance activities across key strategic sectors. Part of the funds will remain in China to strengthen the bank’s onshore operations, reaffirming its long-term commitment to the Chinese market.
Group Chief Executive Officer of CIMB Group, Novan Amirudin, said the strong demand highlights investors’ confidence in the bank’s diversified ASEAN franchise.
“This marks the largest single-tranche issuance by a Malaysian issuer to date. It reflects the confidence in CIMB’s financial strength and reaffirms our commitment to sustainable development across China, Malaysia and the wider ASEAN region,” he said.
“This milestone reinforces CIMB’s role as a bridge between China and ASEAN, accelerating financial integration and promoting cross-border investment and trade.”
CIMB partnered with a consortium of 11 Chinese, regional and international financial institutions to complete the transaction.