MARC has placed its A+ rating on Petra Perdana Berhad’s (Petra Perdana) RM800 million Dual Currency Revolving Facility on MARCWatch Developing following the company’s announcement that it had divested a 25.03% stake in Petra Energy Berhad (Petra Energy).

The divestment will reduce Petra Perdana’s shareholdings in Petra Energy to 29.59% and will result in deconsolidation of Petra Energy from Petra Perdana’s accounts. Petra Energy had contributed 59.3% of the group’s profit before tax for the nine-month period ended September 30, 2009. Petra Perdana has indicated that the net proceeds will be used to pare down bank borrowings and other financial obligations.

The rating will remain on MARCWatch pending an evaluation of the impact of the divestment of Petra Energy shares on Petra Perdana’s credit profile which had not been taken into consideration in MARC’s affirmation of Petra’s rating on November 26, 2009.

Contacts:
Anandakumar Jegarasasingam 03-20902250/ kumar@marc.com.my;
Eric Chua 03-20902245/ cheekiong@marc.com.my;
Ahmad Rizal Ahmad Farid, 03-20902253/ arizal@marc.com.my