Genting Plantations’ acquisition operationally beneficial

Genting Plantations carries corporate credit ratings of AA2/Stable/P1.

KUALA LUMPUR: Genting Plantations Bhd’s proposed acquisition of about 14,661ha in Indonesia is operationally beneficial although the exercise will weigh on the group’s financial profile in the near term, according to RAM Ratings.

The rating agency said in a statement that there are longer-term benefits to the acquisition although plans to fund it via external financing would put pressure on the group’s financial profile in the near term.