MARC has withdrawn its B rating on Titisan Modal (M) Sdn Bhd’s (TMSB) RM738.0 million Fixed Rate Serial Bonds (FRSB) at the request of issuer. The rating withdrawal affects RM738.0 million of outstanding FRSB issued under the aforementioned facility.

MARC's last rating action was on April 6, 2011 when the rating agency affirmed TMSB's standalone issue rating of B but withdrew the issuer's state-supported rating of AA+(S).

MARC opined that ongoing liquidity and cash problems at TMSB's principal operating subsidiary and water treatment operator, Konsortium Abass Sdn Bhd (ABASS) would continue to weigh on TMSB’s continued weak standalone credit profile.

Acqua SPV Berhad (ASPV), a wholly-owned subsidiary of Pengurusan Aset Air Berhad (PAAB), has acquired all of TMSB’s outstanding FRSB under the rated debt facility. ASPV has approved and consented via resolution to the removal of the rating requirements for the FRSB and conversion of the FRSB from publicly traded obligations to non-transferable and non-traded obligations.

Upon the withdrawal of the rating, MARC will no longer carry out rating surveillance on the FRSB.

Contacts:
David Lee, +603-2082 2255/ david@marc.com.my;
Sandeep Bhattacharya, +603-2082 2247/ sandeep@marc.com.my.