RAM Reaffirms AA1/Stable Rating of Batu Kawan’s MYR 500 Million IMTN Programme

RAM Rating Services (RAM) has reaffirmed the rating of Batu Kawan’s MYR 500 Million Islamic Medium-Term Notes (IMTN) Programme (2013/2023) at AA1/Stable.

Batu Kawan is a Malaysian-based investment holding company with subsidiaries involved in chemical manufacturing, transportation, property investment, investment holding and plantations. RAM’s reaffirmation reflects Batu Kawan’s ability to maintain a robust financial profile in spite of the COVID-19 pandemic. RAM also reported that despite a disruption in demand, crude palm oil (CPO) prices have remained high, attributed to the implementation of the B30 biodiesel mandate in Indonesia, and weaker production. In addition, the Movement Control Order have had low impact on Batu Kawan’s plantation segment, a...