Kimlun raises $7.81M in Islamic debt to fund working capital and refinancing
What's the deal? Malaysian construction and engineering group Kimlun CorpDealroom has a profile for this one. Try Dealroom → has raised US$7.57M through an issuance of Islamic commercial papers (ICPs). The proceeds will fund working capital, capital expenditure, and the refinancing of existing debt.
The details: The issuance came in two tranches — US$3.92M maturing in six months and US$3.65M in one year. OCBC Al-Amin Bank acts as principal adviser, lead arranger, lead manager, and shariah adviser for the programme.
Why now? The raise sits under Kimlun's broader Islamic financing programme, which carries a combined limit of US$191.3M and dates back to a 2021 lodgement with the Securities Commission Malaysia. Including this issuance, the group has raised a cumulative US$56.4M across 14 issuances under the programme.
The backdrop: Malaysia's construction sector is on track for record domestic contract awards in 2026, with listed contractors securing US$11.1B in the first nine months — up 17% year on year — driven in part by data-centre work. Kimlun's shares closed up 2.44% at 84 sen on Friday but remain down more than 36% year to date, giving it a market capitalisation of US$77.6M.
The signal: This is routine corporate funding rather than a marquee sector deal — short-dated paper aimed at liquidity and debt management. It is a modest raise against a backdrop of record contract momentum, underscoring the gap between headline project wins and the steady, workaday financing that keeps contractors running.
Read more: newswav.com
Image credit: Generated with Gemini
