RAM Ratings: UniTapah’s MYR 600 Million Sukuk Murabahah (2014/2035) has its AA1/Stable Rating Reaffirmed

https://islamicmarkets.com/articles/ram-ratings-unitapah-s-myr-600-million-sukuk-murabahah-2014-2035-has
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UniTapah’s MYR 600 million Sukuk Murabahah (2014/2035) has had its AA1/Stable rating reaffirmed by RAM Ratings (RAM). UniTapah is the concessionaire for the development and maintenance of University Teknologi MARA (UiTM)’s campus in Perak, with a 23-year concession agreement between the Government of Malaysia and UniTapah.

According to RAM, the ratings reaffirmation is based on UniTapah’s robust and anticipated cash flow debt-service coverage, supported by prompt monthly receipts of Availability Charges (ACs) from UiTM. The rating is also supported by UniTapah’s sound maintenance track record as well as low counterparty risk.

RAM anticipates that UniTapah ca...