RAM Assigns Preliminary AA1/Stable Rating to Widad Concession’s Proposed MYR 310 Million Sukuk Wakalah

RAM Rating Services (RAM) has assigned a preliminary AA1/Stable rating to Malaysian-based Widad Concession’s proposed MYR 310 million Sukuk Wakalah Facility (Proposed Sukuk). Widad Concession, which is wholly owned by Widad Group Berhad (WGB), was established to finance the acquisition cost of the project held by YBK Usahasama (YBKU), which holds a 23-year concession to develop and maintain the Universiti Teknologi MARA (UiTM) campus in Melaka.

Why it Matters?

Proceeds from the Proposed Sukuk will be used to subscribe to unrated Murabahah stocks issued by YBKU to Widad Concession. Funds from this subscription will in turn be used by YBKU to retire its existing liabilities. Partial proceeds of the Sukuk will be retained at Widad Concession to pr...