MARC Affirms AA-IS Rating on Cerah Sama’s USD 99.7 Million Sukuk; Stable Outlook

Malaysian Rating Corporation (MARC) has affirmed its AA-IS rating on Malaysia-based Cerah Sama’s MYR 420.0 million (USD 99.7 million) Sukuk with a Stable outlook, with the outstanding currently standing at MYR 360.0 million (USD 85.5 million).

Ratings Rationale

The affirmation reflects Cerah Sama’s strong cash flows backed by steady traffic volumes on the 22-year old Cheras-Kajang Highway. Robust cash reserves and an accommodative Sukuk repayment structure further bolsters the rating. Despite this, the company’s leveraged capital structure moderates the rating.

Details

Cerah Sama’s financial performance in 2020 has met MARC’s expectations. Traffic volume on Cheras-Kajang Highway was impa...