[MARC] MARC Ratings assigns “Gold” Impact Assessment to Berapit Mobility’s Sustainable Finance Framework

MARC Ratings has assigned a “Gold” Impact Assessment to Berapit Mobility Sdn Bhd’s (BMSB) Sustainability Sukuk Framework. The framework has been established to set the guiding principles for BMSB’s issuance of Sustainability Sukuk for eligible projects that contribute towards environmental and social benefits.

BMSB, incorporated in September 2023, is a subsidiary of SMH Rail Sdn Bhd, Malaysia’s largest private prime rolling stock manufacturer, and maintenance, repair, and overhaul service provider. The company was established solely to carry out the refurbishment/replacement of the locomotives and wagons acquired from Railway Assets Corporation under sale-and-leaseback agreements. BMSB will also be responsible for the fleet’s scheduled maintenance over the duration of the respective lease agreements.

Proceeds raised from the issuance of Sustainability Sukuk will be channelled towards eligible projects that address five of the 17 United Nations Sustainable Development Goals (UN SDGs).

We opine that the framework is aligned with the core components of the applicable guidelines, frameworks, and principles published by the Securities Commission Malaysia, ASEAN Capital Markets Forum, and the International Capital Market Association, among others.

The Gold assessment of the framework reflects the view that the use of proceeds would provide relevant social and environmental benefits that support five of the 17 UN SDGs.

+603-2717 2963/ marc@marc.com.my