RAM Reaffirms AA3/Stable Rating of Dynasty Harmony’s MYR 165 Million Islamic Medium-Term Notes

RAM Ratings (RAM) has reaffirmed the AA3/Stable rating of Dynasty Harmony’s MYR 165 million Islamic Medium-Term Notes (Sukuk) (2018/2033), which comes under its MYR 300 million Sukuk Programme (2018/2036). Dynasty Harmony is a wholly-owned funding vehicle of Malaysia-based investment holding company GFM Services, and relies solely on the residual cash flow of sister company KP Mukah Development (KP Mukah), which is the concession-holder for the development and maintenance of the Universiti Teknologi MARA (UiTM) campus in Sarawak. Given this, KP Mukah and Dynasty Harmony are in close alignment from a credit perspective.

Ratings Rationale

The ratings reaffirmation is based on the transaction’s stable cash flow, sufficient liquidity and solid p...