IslamicFinance.de

Turkish participation bank Kuveyt Turk has sold a debut deal of ringgit-denominated sukuk and has applied for a new 1 billion lira ($376 million) deal, as the lender looks to secure lower-cost financing. Kuveyt Turk, 62 percent owned by Kuwait Finance House , will sell the lira-denominated deal to qualified investors via its asset-leasing company, KT Kira Sertifikalari Varlik Kiralama. The ringgit five-year sukuk pays an annual yield of 5.8 percent, with the proceeds swapped into dollars to reduce the bank's funding costs to 4.4 percent. The 300 million ringgit sukuk is first issuance under a 2 billion ringgit programme.