TRIS Rating affirms the company rating on AP (Thailand) PLC (AP) and the ratings on its outstanding senior unsecured debentures at ?A-? with a ?stable? rating outlook. At the same time, TRIS Rating assigns the rating of ?A-? to AP?s proposed issue of up to THB1.5 billion in senior unsecured debentures and an additional greenshoe portion of up to THB0.5 billion due within four years. The company plans to use the proceeds from the debentures issuance to repay some of its existing loans and fund business expansion.
The ratings reflect AP?s strong market position, its diverse product line, and strong operating performance resulting from revenue growth in the housing segment and a substantial amount of shared profits from joint venture (JV) projects. The ratings also take into consideration its moderate financial leverage, and the effects of the prolonged Coronavirus Disease 2019 (COVID-19) pandemic, which could add pressure on the demand for residential properties.
TRIS Rating affirms the company rating on Amata Corporation PLC (AMATA) and the ratings on AMATA?s senior unsecured debentures at ?A-?, with a ?stable? outlook.
The ratings continue to reflect the company?s proven record as one of the leading industrial estate developers in Thailand. The company?s strengths are underpinned by its sizable base of recurring revenues from the sale of utility services and dividend income from its investments in several power plants. Nevertheless, the ratings are constrained by the company?s elevated leverage, coupled with the country and regulatory risks associated with AMATA?s overseas operations. The ratings also take into consideration the impact of the Coronavirus Disease 2019 (COVID-19) pandemic, which has brought about a significant decline in investment activities as well as Thailand?s slow pace of economic recovery.
TRIS Rating affirms the company rating on DBS Vickers Securities (Thailand) Co., Ltd. (DBSVT) at ?AAA? with a ?stable? outlook. The rating mainly reflects the company?s status as a highly strategic subsidiary of the DBS Group whose main operating entity is DBS Bank Ltd. (rated ?AA-/Stable? by S&P Global Ratings).
KEY RATING CONSIDERATIONS
Highly strategic subsidiary of the DBS Group
We consider DBSVT to be a highly strategic subsidiary of the DBS Group. DBSVT is a wholly owned subsidiary of DBS Vickers Securities Holding Pte (DBSVH), the Singapore-based securities arm of the DBS Group. The company serves as an integral part of a platform to offer brokerage services to clients of the DBS Group and affiliated companies. As an integral part of the group, DBSVT adopts the group?s strategies and financial targets. DBSVT?s strong linkage with the group is evidenced by the company?s securities brokerage trading volume originating from affiliated companies that accounted for 75% of total
TRIS Rating affirms the company rating on AAPICO Hitech PLC (AH) at ?BBB+?. At the same time, we revise the rating outlook to ?stable? from ?negative?. The change in the rating outlook reflects an expected recovery in the company?s operating performance, which will improve its earnings and financial leverage.
The rating continues to reflect AH?s strong competitive position as a Tier-1 automotive parts manufacturer in Thailand, its solid core operations, and efficient cost control. These strengths are partially offset by the company?s rather thin profit margins, customer concentration risk, and the cyclical nature of the automotive industry. The rating also takes into consideration increasing exposure to overseas operations which could pose significant challenges while presenting opportunities to broaden market coverage.
TRIS Rating Affirms Company Rating on JMT at BBB with Stable ryt9.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from ryt9.com Daily Mail and Mail on Sunday newspapers.