RAM Ratings reaffirms A1/Stable rating of Special Power Vehicle’s Class A IMTN

Published on 09 Nov 2021.

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RAM Ratings has reaffirmed the A1 rating and its corresponding stable outlook of Special Power Vehicle Berhad’s (SPV or the Company) RM800 mil Class A Islamic MTN (Class A IMTN) Facility (2005/2022).  The Company is a trust-owned funding conduit to partially finance the construction of Jimah Energy Venture Sdn Bhd’s (JEV) 1,400 MW coal-fired power plant in Port Dickson, Negeri Sembilan via the full subscription of JEV’s RM895 mil Junior Debt. To do so, SPV had issued the Class A IMTN and RM215 mil of Class B IMTN (unrated, subordinated to the former). Under its financing structure, Class A IMTN is structurally subordinated to JEV’s RM4.85 bil Senior IMTN (rated AA3/Stable by RAM) in terms of cashflow and security ranking. 

JEV’s operational performance and cash-generating aptitude remained healthy, as underscored by the strong rating of its Senior IMTN. Subordinated finance service coverage ratio (with cash balances, post-distribution) of the Group (comprising both JEV and SPV) was 1.53 times on the repayment date of 19 November 2020, slightly better than our earlier forecast of 1.45 times due to JEV’s operational outperformance against our sensitised assumptions. As at end-June 2021, SPV’s total cash balances totalled RM89.6 mil, more than sufficient to cover the final debt service of RM66.7 mil that will fall due on 19 November 2021.


Analytical contact
Timothy Goh 
(603) 3385 2496

Chong Van Nee, CFA 
(603) 3385 2482


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