[RAM] Premium Commerce fully redeems outstanding Class B Notes under Notes Series 2015-A

RAM Ratings has received confirmation that Premium Commerce Berhad fully redeemed the outstanding RM250,000 Class B Notes under its Notes Series 2015-A on 23 June 2021, ahead of the maturity date of 23 December 2022. Accordingly, we have withdrawn the AAA/Stable rating of Class B and no longer have any rating obligation in respect of Notes Series 2015-A.

The early redemption follows the underlying portfolio’s overall satisfactory loss performance, which resulted in a rapid build-up of cash and faster than expected deleveraging of the transaction via its pass-through mechanism.  

RAM will maintain coverage of Premium Commerce’s Notes Series 2016-A, which involves the securitisation of hire-purchase receivables originated by TC Capital Resources Sdn Bhd under Premium Commerce’s RM2 bil Asset-Backed MTN Programme. TC Capital Resources is the hire-purchase captive financing arm of Tan Chong Motor Holdings Berhad, which in turn – via Tan Chong & Sons Motor Company Sdn Bhd – holds the sole right to assemble and distribute Nissan and Ultimate Dependability vehicles in Malaysia.

Analytical contact
Liew Kar Ling
(603) 3385 2586

Media contact
Padthma Subbiah
(603) 3385 2577