S&P slices Serba Dinamik

S&P said it sliced Serba Dinamik Holdings Bhd. and its guaranteed sukuks to B- from B+. The agency also placed the ratings on CreditWatch with negative implications.

“Serba Dinamik faces heightened refinancing risk of its U.S. dollar-denominated MYR 900 million sukuk due May 2022 because of weakened market access due to a pending special independent review. Questions raised during KPMG PLT's fiscal 2020 statutory audit of Serba Dinamik's financial condition has prompted the company to appoint an independent third party to conduct this review. We believe Serba Dinamik may face difficulties accessing international and domestic capital markets, at least until the review's resolution,” S&P said in a press release.

The CreditWatch reflects the increased risk of a downgrade by a notch or more if Serba Dinamik suffers delays in refinancing its short-term debt, or if it does not advance a credible refinancing plan for its 2022 sukuk, the agency said.

S&P said it aims to resolve the CreditWatch within 90 days.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.