264 KENANGA INVESTMENT BANK BERHAD INTEGRATED ANNUAL REPORT 2025 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2025 26. BORROWINGS Note Group Bank 2025 RM’000 2024 RM’000 2025 RM’000 2024 RM’000 Unsecured: Revolving bank loans (a) 15,000 9,000 - - Subordinated notes (b) 83,500 180,500 83,500 180,500 Additional Tier 1 Capital Securities (c) 40,000 - 40,000 - 138,500 189,500 123,500 180,500 (a) For financial year ended 2025, the revolving bank loans bore interest of 1.60% to 2.00% p.a. over cost of funds plus cost of maintaining statutory reserve and liquidity requirements. The loans were payable on maturity and the maximum tenure was three (3) months. (b) On 27 March 2017, the Bank established a RM250.0 million Tier 2 Subordinated Note Programme in nominal value which has a tenure of up to thirty (30) years. The outstanding Subordinated Notes under this programme as at 31 December 2025 are as follows: Issue date Tranches RM’000 Rate (p.a.) Tenure 28 May 2021 6 63,500 4.48% 10 years (non-callable 5 years) 10 February 2023 7 20,000 5.60% 83,500 The Bank has fully redeemed the tranche 4 and tranche 5 of its Subordinated Notes with nominal value of RM50.0 million and RM47.0 million on 20 March 2025 and 28 August 2025, respectively. (c) On 11 June 2025, the Bank had established the Additional Tier 1 Capital Securities (“AT1CS”) Programme of up to RM500 million in nominal value. The details of the first tranche of the AT1CS are as follows: Issue date Tranche Amount RM’000 Call date Maturity date Rate (p.a.) Tenure 22 August 2025 1 40,000 22 August 2030 Not Applicable 5.75% Perpetual
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