RAM Reaffirms Telekom Malaysia’s AAA/Stable/P1 Sukuk Ratings Based on Dominance Over Local Telecommunication Industry
June 07, 2021
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Email RAM Rating Services (RAM) has reaffirmed Telekom Malaysia’s (TM or the Group) Sukuk ratings. In particular, TM’s MYR 3 billion Islamic Medium-Term Notes (IMTN) Programme (2013/2033) has been reaffirmed as AAA/Stable, while its MYR 4 billion IMTN Programme (2018/2048) and Islamic Commercial Paper (ICP) Programme (2018/2025) have been reaffirmed at AAA/Stable/P1.
Ratings Rationale
The reaffirmation of ratings is due to TM’s dominance over Malaysia’s fixed-broadband and fixed-line services and telecommunication industry, which is reinforced by the Group’s vital role and robust relationship with the Government of Malaysia, enabling it to be highly likely to receive extraordinary support in the event of financial distress.
