Rating action     MARC has affirmed its AAAIS rating on TNB Northern Energy Berhad’s (TNB Northern) outstanding sukuk of RM1.35 billion with a stable outlook. Rationale     The rating is equalised to Tenaga Nasional Berhad’s (TNB) corporate credit rating of AAA/stable from MARC. The rating equalisation is based on our view on the strength of the financial com...

Rating action     MARC has affirmed its insurer financial strength rating of AA+ with a stable outlook on Bermuda-based International General Insurance Co. Ltd. (IGI). The rating is based on Malaysia’s national scale.Rationale       The rating affirmation continues to be driven by IGI’s well-diversified underwriting portfolio across business lines and geograp...

Rating action     MARC has affirmed its AA-IS rating on UiTM Solar Power Dua Sdn Bhd’s (UiTM Solar 2) outstanding Green Sustainable and Responsible Investment (SRI) Sukuk of RM100.0 million. The rating outlook is stable.Rationale     In affirming the rating, we considered UiTM Solar 2’s 21-year power purchase agreement (PPA) with Tenaga Nasional Berhad (TNB) under...

Rating action     MARC has maintained its rating of CIS on Talam Transform Berhad’s (Talam) outstanding RM40.0 million Settlement Bithaman Ajil Islamic Debt Securities (Settlement BaIDS) as of June 9, 2021. The rating continues to reflect the substantial risk of default on the Settlement BaIDS, notwithstanding the extension of the maturity date of Talam’s Settlement BaIDS by 18 ...

Rating action     MARC has affirmed its financial institution (FI) ratings of AAA/MARC-1 on Islamic Development Bank (IsDB). Concurrently, the rating agency has affirmed its rating of AAAIS on the Sukuk Wakalah programme of up to RM400 million issued by Tadamun Services Berhad, a trust established by IsDB. The ratings outlook is stable. The programme currently has an outstanding amo...

Rating action     MARC has affirmed its AA-IS rating on Malaysia Marine and Heavy Engineering Holdings Berhad’s (MHB) RM1.0 billion Sukuk Murabahah Programme with a stable outlook. There is no outstanding under the programme. Rationale     The rating is mainly driven by MHB’s conservative balance sheet and strong liquidity position as well as  strong com...

Rating action     MARC has affirmed its AA-IS rating on UiTM Solar Power Sdn Bhd’s (UiTM Solar) outstanding Green Sustainable and Responsible Investment (SRI) Sukuk of RM202.3 million. The outlook is stable. Rationale     The rating affirmation continues to reflect the strength of UiTM Solar’s 21-year power purchase agreement (PPA) with Tenaga Nasional Berhad...

Rating action     MARC has affirmed its AA-IS rating on SAJ Capital Sdn Bhd’s (SAJ Capital) Sukuk Murabahah of up to RM650.0 million with a stable outlook. Total outstanding under the sukuk as at end-June 2021 is RM570 million.Rationale     SAJ Capital is 100%-owned by Ranhill Capital Sdn Bhd. The latter holds an 80% interest in Ranhill SAJ Sdn Bhd, the exclusive pr...

Rating action     MARC has affirmed its AA-IS rating on Konsortium KAJV Sdn Bhd’s (KAJV) RM1.0 billion Sukuk Wakalah Programme with a stable outlook.Rationale     The rating affirmation reflects the credit strength of the Terengganu State Government to meet its payment obligations due on the Facility Payment Certificates (FPC) issued for work done by KAJV for the Ku...

Global Markets     In July, UST yields tumbled significantly in a bull-flattening move with yields along the 5y30y curve shedding between 17bps to 21bps to lows last seen in February this year. The rally was spurred by the rapid spread of the COVID-19 Delta variant, amplifying expectations the US economic growth has moved past its peak. The UST bond market rally had also spread to t...