EON Bank to securitise hire purchase loans for RM500m.

(From Business Times (Malaysia))

EON Bank Bhd, a unit of EON Capital Bhd, plans to raise RM500 million in the second half of the year by securitising a portion of its hire-purchase lending totalling some RM7 billion.

Its deputy chief executive officer for group management services division, Martin L.M. Chu, said the money will be used partly for medium- term funding needs.

The move, its first loan securitisation, will provide EON Bank with a platform for more such issues as well as better manage its interest rates exposure risk in future.

EON Bank, which is looking at the structure of the bonds, has not decided whether to opt for …