MARC has reaffirmed the MARC-2ID /AID short-term and long-term ratings respectively of second-tier automation and material handling solution provider, Malaysian AE Models Holdings Berhad’s (MAE) RM200 Million Islamic Commercial Paper/Islamic Medium Term Notes (ICP/IMTN) programme. The ratings carry a developing outlook. The reaffirmed ratings reflect MAE’s strong operating performance,...

MARC has reaffirmed its MARC-2/AID rating for Maxtral Industry Berhad’s (Maxtral or the Group) RM80-million Al-Bai Bithaman Ajil Islamic Debt Securities (BaIDS) and RM20-million Murabahah Underwritten Notes/Murabahah Medium Term Notes (MUNIF/MMTN) facilities. The rating carries a stable outlook. The affirmation reflects Maxtral’s satisfactory operating performance, moderate debt levera...

MARC has reaffirmed its AAAID(s) ratings on Optimal Glycols (Malaysia) Sdn Bhd’s (‘Glycols’) and Optimal Chemicals (Malaysia) Sdn Bhd’s (‘Chemicals’) RM453 million and RM567 million Bai Bithaman Ajil Islamic Debt Securities (‘BaIDS’) respectively. The ratings carry stable outlook. The ratings assigned to both Glycols’ and Chemicals’ issue...

MARC has reaffirmed its AAAID ratings on Optimal Olefins (Malaysia) Sdn Bhd’s (‘Olefins’) RM250 million Al Bai Bithaman Ajil Islamic Debt Securities (‘BaIDS’). The rating outlook is stable. The rating reflects Olefins’ strong ownership structure, its secured feedstock source and favourable feedstock price structure from Petroliam Nasional Berhad (‘Petronas...

MARC has reaffirmed the A+ID /MARC-1ID ratings of Weida (M) Bhd’s (Weida) RM100 Million Murabahah Underwritten Notes Issuance / Islamic Medium Term Notes Facility. The rating outlook is stable. The reaffirmed ratings reflect the group’s consistent financial performance and its competitive position in the supply of high density polyethylene (HDPE) engineering products to the water and s...

Major Rating FactorsStrengths Tier One auto parts vendor with balanced product mix, focusing on safety components;Technical partnership with Bosch (international household name) and Koito (one of the world’s largest headlamp manufacturers); andImproved earnings diversity through injection of water meter manufacturing business.Challenges/Risks Buyer concentration risk in relation to national ...

Major Rating FactorsStrengthsFavourable demand fundamentals for industrial cotton gloves;Broad customer base with no significant exposure to any single industry sector; andManufacturing is focused on higher-margin custom-made gloves.Challenges/RisksRising competition from China’s low cost cotton glove manufacturers;Remedying its breach of Finance to Net Tangible Assets Ratio (FNR) covenant; ...

Major Rating FactorsStrengthsPredominant position in local cable industryHealthy liquidity and demonstrated ability to generate cash flows in excess of capital expenditure. Challenges/RisksParticipation in cyclical, price competitive, and capital intensive cable industry.A high degree of industry and customer concentrationRelatively high debt service costsPotential significant cash outlay on its s...

MARC has affirmed Boon Koon Group Berhad’s (‘BKGB’ or the ‘Group’) RM100 Million Islamic Commercial Papers/ Medium Term Notes (ICP/MTN) ratings at AID / MARC-2. The rating outlook is stable. The rating affirmation primarily reflects the Group’s leading position in the domestic rebuilt commercial vehicle industry, the industry’s positive growth prospectives...

Major Rating FactorsStrengths Tier One auto parts vendor with wide product range for national and foreign marques;Increased regional presence, particularly in Thailand and Indian markets; andLow gearing with sizeable unutilized banking facilities. Challenges/RisksHeavy reliance on sales of national automakers, PROTON and PERODUA;Stiff competition in the domestic automotive industry, and consequent...