PETALING JAYA: Malaysian Rating Corp Bhd (MARC) has assigned a stable outlook for Serba Dinamik Bhd’s RM1.5bil Islamic debt papers due to the latter’s sizeable operations and maintenance (O&M) order book and also its established track record.
In a statement yesterday, MARC said it had assigned ratings of MARC-1IS/A+IS to the RM500mil multi-currency Islamic commercial papers programme and RM1.5bil Islamic medium-term notes programme with a combined limit of RM1.5bil.
MARC said the assigned ratings reflect Serba Dinamik’s sizeable O&M order book, underpinned by an established track record in the O&M of rotating and static equipment domestically and abroad.
“The ratings also consider the group’s strong relationship with Petronas domestically as well as with other state-owned oil corporations abroad that has enabled the group to maintain steady O&M contract renewals and secure new contracts.
“Primarily constraining the ratings are the group’s elevated leverage level, and execution risks associated with its expansion into other businesses, ” it said.