RAM Ratings affirms AAA/Stable rating of Eternal Icon’s Plaza 33-backed Senior Class ASEAN Green MTNs

Published on 23 Apr 2024.

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RAM Ratings has affirmed the AAA/Stable rating of the Senior Class ASEAN Green Second Medium-Term Notes (Senior Class MTNs) under Eternal Icon Sdn Bhd’s (Eternal Icon or the Issuer) RM400.0 mil MTN Programme, backed by Plaza 33 (the Property), an integrated office tower in Petaling Jaya.

The affirmation is premised on the transaction’s superior collateral cover as reflected in the loan to value (LTV) ratio of 35.6% and stressed debt service coverage (DSCR) ratio of 2.97 times, based on RAM’s assessed adjusted valuation of RM244.44 mil for Plaza 33. The sturdy collateral cover also provides a buffer against risks of deterioration in the Property’s performance without affecting the rating.

In FY Dec 2023, Plaza 33’s net property income (NPI) was higher y-o-y at RM19.2 mil (excluding one-off expenses for the ASEAN Green MTN) (2022: RM18.5 mil), on track to meeting our sustainable cashflow assumption of RM22.0 mil within the next two years. The Property’s performance is expected to improve, underpinned by its above average property profile – as seen in a RAM Property Score of O-3.70 (maximum: O-5.00) – and management’s ability to attract and retain tenants. Notably, the Property has recorded above industry-average occupancy and rental rates since its opening in 2014 amid a competitive office environment. The management is currently in talks with existing and prospective tenants to fill vacant spaces, which if successful would boost the average occupancy rate to around 88% for fiscal 2024. 

Eternal Icon is a special-purpose vehicle incorporated to undertake the securitisation of Plaza 33 – a multi-tenanted office property comprising two 14-floor towers, two levels of retail space and seven car park levels. 


Analytical contacts
Tan Yan Choong
(603) 3385 2502

Lim Chern Yit
(603) 3385 2528

Media contact
Sakinah Arifin
(603) 3385 2500


The credit rating is not a recommendation to purchase, sell or hold a security, inasmuch as it does not comment on the security’s market price or its suitability for a particular investor, nor does it involve any audit by RAM Ratings. The credit rating also does not reflect the legality and enforceability of financial obligations.

RAM Ratings receives compensation for its rating services, normally paid by the issuers of such securities or the rated entity, and sometimes third parties participating in marketing the securities, insurers, guarantors, other obligors, underwriters, etc. The receipt of this compensation has no influence on RAM Ratings’ credit opinions or other analytical processes. In all instances, RAM Ratings is committed to preserving the objectivity, integrity and independence of its ratings. Rating fees are communicated to clients prior to the issuance of rating opinions. While RAM Ratings reserves the right to disseminate the ratings, it receives no payment for doing so, except for subscriptions to its publications.

Similarly, the disclaimers above also apply to RAM Ratings’ credit-related analyses and commentaries, where relevant.

Published by RAM Rating Services Berhad
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