KUALA LUMPUR: Permodalan Nasional Bhd (PNB) is expanding its scope to commercial fund management with its newly launched PNB Structured Investment Fund (PNB SIF).
Chairman Tan Sri Ahmad Sarji Abdul Hamid said the fund marked the expansion of PNB's customer base from traditional individual investors to a broader market segment comprising institutions, companies, cooperatives and other fund holders.
PNB SIF is an RM3bil closed-end structured fund with a maturity period of five years. It will be transacted at a net asset value of RM1 during the initial offer period, or 45 days from the launch date.
From left: Tan Sri Ahmad Sarji Abdul Hamid, Tan Dri Nor Mohamed Yakcop and Tan Sri Hamad Kama Piah Che Othman at the fund launch.
The fund will invest mainly in PNB's real estate investment trusts (Reit), structured products and cash instruments.
Deutsche Bank (M) Bhd will issue the structured products while PNB will place its Reit, comprising seven properties in Kuala Lumpur and Johor Baru, into the fund.
The PNB properties registered healthy occupancy averaging over 93%, Sarji said at the fund launch yesterday.
Deutsche Bank, meanwhile, will provide the financial products including bonds, equities, equity-linked products and hybrid products.
“We hope this unique product will fit the criteria of prudent investors looking for exposure to the exciting and growing potential of Reit and structured products,” he added.
PNB president Tan Sri Hamad Kama Piah Che Othman said PNB Reits' prime properties – PNB Building, PNB Darby Park, PNB Damansara, Menara Tun Ismail and Wisma KPMG in Kuala Lumpur as well as Menara Pelangi, Plaza Pelangi and Pelangi Leisure Mall – were estimated to be worth almost RM1bil.
On the potential listing of PNB Reit, he said: “If the opportunity arises, we believe we've got the capital appreciation from our prime property assets.”
Earlier, Second Finance Minister Tan Sri Nor Mohamed Yakcop said the 13 Reits listed on Bursa Malaysia had a market capitalisation of more than RM5bil.
He said PNB's initiative to incorporate PNB Reits into PNB SIF reflected the fund manager's commitment to cater to investors' need for more sophisticated investment products.
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