KUCHING: OCBC Bank (Malaysia) Bhd (OCBC) is introducing six new structured warrants featuring a diverse group of industries ranging from construction, financial services, gaming, plantation and rubber players following encouraging response to its earlier equity derivative products.
According to its head of Global Treasury, Ng Seow Pang, the bank would be making six issuances of cash-settled European Call Warrants, set to be listed on March 22 on Supermax Corporation Bhd (Supermax), IJM Corp Bhd (IJM), Kuala Lumpur Kepong Bhd (KLK), Malaysia Building Society Bhd (MBSB), MMC Corporation rhd (MMC Corp) and Multi-Purpose Holdings Bhd (MPHB) with tenures of about eight months and issue sizes of up to 50 million each.
“OCBC Bank is positive about the equity market in general given the strong start to 2012. The FBM KLCI, however, lags key regional markets and we expect it to catch up with its peers in the region soon,” said Ng.
“As one of the active equity derivatives players in the market, we aim to continue to offer alternative investments to the public, in this instance structured warrants.
“They provide investors who are bullish about these names to consider them as viable alternative leveraged investment options. We are looking forward to good take up, especially given the increase in investors’ appetite for more sophisticated products,” he added.
The issue price for each has been set at RM0.15.