Published on 05 Feb 2021.
RAM Ratings has received confirmation from the security trustee, Maybank Trustees Berhad, that Premium Commerce Berhad (the Issuer) had fully redeemed the RM2 mil outstanding of the Class A Tranche 4 Notes under its Notes Series 2015-A on 23 December 2020, ahead of the maturity date of 23 December 2022. Accordingly, we have withdrawn the AAA rating of the Class A Notes and no longer have any rating obligation in respect of them.
RAM will maintain coverage of Premium Commerce’s outstanding Class B Notes under the same notes series. The Issuer also prepaid early RM2 mil of Class B Notes on the same date, reducing the outstanding principal to RM3 mil. Based on average monthly collections of around RM1 mil to date, the transaction is likely to accumulate sufficient cash to fully redeem the Class B Notes within this year, ahead of the maturity date of 23 December 2022.
The transaction involves the securitisation of hire-purchase receivables originated by TC Capital Resources Sdn Bhd under Premium Commerce’s RM2 bil Asset-Backed MTN Programme. TC Capital Resources is the hire-purchase captive financing arm of Tan Chong Motor Holdings Berhad, which in turn – via Tan Chong & Sons Motor Company Sdn Bhd – holds the sole right to assemble and distribute Nissan and Ultimate Dependability vehicles in Malaysia.
Liew Kar Ling
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Ratings on Premium Commerce Berhad 2015-A