Find A Rating 
PRESS RELEASES
RAM Ratings affirms UniTapah
Published on 12 May 2026.
RAM Ratings has affirmed the AAA/Stable rating of UniTapah Sdn Bhd's (UniTapah or the Company) Sukuk Murabahah of up to RM600 million (2014/2035) (the Sukuk).
The rating reflects UniTapah’s steady cash flow and strong debt service coverage, supported by fixed monthly payments from Universiti Teknologi MARA (UiTM) under a 23-year concession to develop and maintain the UiTM Tapah campus in Perak. Operating performance remained strong in 2025, with an average monthly KPI score of 99.7% (2024: 99.8%) and minimal performance deductions. Campus maintenance is outsourced to Everfine FMS Sdn Bhd, a subsidiary of facility management service provider GFM Services Berhad. Timely receipt of availability charges continues to underpin the transaction’s robust debt servicing capacity. Major maintenance needs are supported by a healthy maintenance reserve fund balance of RM17.1 mil as at end-December 2025.
UniTapah's finance service coverage ratios (FSCRs), inclusive of cash balances, recorded on the June and December 2025 sukuk repayment dates stayed above earlier projections, backed by timely concession receipts and stable maintenance margins. Pre-financing cash flow in FY Dec 25 stood at RM46.4 mil, partially benefitting from the collection of concession receipts that were in arrears at end-2024 and subsequently paid during the year. Under RAM’s stressed analysis, the Sukuk’s minimum and average FSCRs are forecast at 1.88 times and 1.98 times, respectively (base case minimum: 2.16 times). Structural features, including restrictive covenants that prohibit shareholder distributions and additional borrowings, provide further protection for sukukholders.
As with other concession-based transactions, UniTapah is exposed to concession termination risk. RAM considers this risk remote, given the Company's strong operating track record and the relatively non-complex nature of facilities maintenance. Counterparty risk is viewed as low, with the Government of Malaysia, via UiTM, as the ultimate obligor of concession payments.
Analytical contacts
Lai Jing Wei
(603) 2708 8239
jingwei@ram.com.my
Davinder Kaur Gill
(603) 2708 8220
davinder@ram.com.my
Media contact
Sakinah Arifin
(603) 2708 8212
sakinah@ram.com.my
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
© Copyright 2026 by RAM Rating Services Berhad
