RAM-rated progress billing transactions to stay largely supported despite MCO-imposed halt in construction activity

Published on 29 Jun 2020.

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RAM Ratings expects the three rated progress billing transactions issued under Exsim Capital Resources Berhad (Exsim Capital), Exsim Ventures Berhad (Exsim Ventures) and Trinity Asia Ventures Berhad (Trinity) to perform largely within its sensitivities, notwithstanding temporary setbacks from government measures to contain the Covid-19 pandemic. Construction work on all projects under the respective rated transactions had since resumed in accordance with directives under the Conditional Movement Control Order (Conditional MCO) allowing selected sectors to reopen.



Issue Amount
(RM mil)


Expected Maturity

Legal Maturity

Exsim Capital

Nidoz & D’Nuri Residences



30 July 2021

28 January 2022


Trinity Lemanja



23 March 2022

23 September 2022

Exsim Ventures

Scarletz Suites



28 February 2023

28 August 2023


RAM has had discussions with developers (also sponsors) for the respective transactions on the scale of disruptions and requisite business continuity plans. Although we have yet to receive formal confirmation from the main contractors for the projects, information gained from the developers indicates that Scarletz Suites (under Exsim Ventures) and Trinity Lemanja (under Trinity) should still be able to meet (with minimal delay, if any) the legal vacant possession (VP) dates despite the two-month cessation of construction activity.

The fallout from the pandemic appears to have kept both projects’ workforce levels and estimated compliance costs manageable. Even assuming a two-month delay from the initial scheduled completion dates, the remaining time buffer for the projects is still comfortable at around five to nine months between construction completion date and legal VP date. Prior to the MCO, construction progress for both projects was on schedule, as verified by the independent project certifier.


Construction Progress as at March 2020

Initial Targeted VP

Legal VP date

Sukuk Expected Maturity Date

Nidoz Residences


July/August 2020*

7 June 2020

31 July 2021

D’Nuri Residences


July/August 2020*

13 July 2020

31 July 2021

Trinity Lemanja


July 2021

4 September 2021

23 March 2022

Scarletz Suites


March 2022

1 July 2022

28 February 2023

* Revised

Meanwhile, Nidoz Residences (Nidoz) and D’Nuri Residences (under Exsim Capital) were issued Certificates of Completion and Compliance (CCC) by the architect on 25 June 2020. The developer has accordingly started delivery of VP to purchasers, which is expected to be completed between July and August 2020. While this would mean a slight delay from the legal VP date for Nidoz, the compensation sums are estimated to be negligible relative to the projects’ remaining gross development profit up to legal maturity of RM325.8 mil as at end-January 2020. 

We understand that the developer for Exsim Capital has applied for a three-month extension of time from the housing ministry to deliver VP to purchasers. If approved, Nidoz will complete delivering VP ahead of the extended legal VP date in September/October 2020.

The rated projects have not seen any material purchaser defaults to date, with transaction liquidity still adequate, as payments to contractors had also ceased given stagnant construction progress. 


Analytical contact
Lim Chern Yit
(603) 3385 2528

Media contact
Padthma Subbiah
(603) 3385 2577


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Published by RAM Rating Services Berhad
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Ratings on Exsim Capital Resources Berhad