Friday, 22 July 2016

RAM Ratings reaffirms Sepangar Bay RM575m Sukuk

RAM Rating Services has reaffirmed the AA1/Stable rating of independent power producer Sepangar Bay Power Corporation Sdn Bhd’s RM575mil nominal value Sukuk Murabahah.

It said on Friday the rating reflects Sepangar’s robust cashflow-generation to service debt obligations, backed by the favourable terms of the company’s power purchase agreement (PPA) with its sole offtaker, Sabah Electricity Sdn Bhd (SESB).

Save for a one-time damage to its steam turbine in January 2014, Sepangar has ensured the plant resumed its optimal performance.

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