MARC has placed the long term A (A flat) ratings of MK Land Holdings Berhad’s (MK Land) RM150 million nominal value of 3, 5 and 7 year bonds 2001-2008 (tranche 1) and RM150 million nominal value of 3, 5 and 7 year bonds 2002-2009 (tranche 2) on MARCwatch with a negative outlook.

The MARCwatch placement reflects slower take-up rates at MK Land’s flagship projects in Damansara Perdana and Damansara Damai due to the continued moderation in the property market, and their latest unaudited full year financial results which did not meet expectations.

MK Land’s strong capitalisation and certain covenants under the issue structure, however, continue to underpin the ratings. MARC is currently conducting a review and will advise any rating implications in due course.