[RAM] RAM Ratings assigns AA3(bg)/Stable rating to Heliosel's RM150 mil Guaranteed IMTN

RAM Ratings has assigned an AA₃(bg)/Stable rating to the RM150 mil Guaranteed IMTN under Heliosel Sdn Bhd’s (Heliosel or the Company) RM2 bil Sukuk Murabahah Programme (Sukuk Programme). The issue rating reflects an irrevocable and unconditional guarantee extended by Bank Islam Malaysia Berhad (rated AA₃/Stable/P1 by RAM). 

Heliosel was established in December 2021 to spearhead the Renewable Energy for Water (RENEW) programme under Pengurusan Air Selangor Sdn Bhd’s (Air Selangor) Net Zero Energy Vision 2040 (NZEV 2040), in line with Malaysia’s National Energy Transition Roadmap. The Company’s primary role is to develop, own and operate solar photovoltaic (PV) facilities for Air Selangor. Heliosel is wholly owned by Air Selangor Holdings Berhad (AIH) and ultimately by Menteri Besar Selangor (Incorporated). 

While it turned profitable in FY Dec 2024, Heliosel’s profitability outlook remains soft as an early-growth-stage entity and is expected to remain so until it achieves economies of scale. As at end-April 2025, Heliosel had completed 21 operational solar projects with a total installed capacity of 13 MWp. Concurrently, 23 solar projects with total capacities of 49.0 MWp are under construction or awaiting generation licence. These solar projects are contracted with Air Selangor as the sole offtaker of renewable energy (RE) generated. Proceeds from the RM150 mil Guaranteed IMTN will be utilised to refinance or finance Heliosel’s current planned solar projects totalling 62 MWp. In the longer term, the sustainability of Heliosel’s business plan to develop and own up to 487 MWp, if pursued in a rapid pace, may introduce execution and scaling challenges. 

In view of its narrow shareholder capital base, however, Heliosel will be dependent on subsequent sukuk drawdowns and refinancing to ensure continued servicing of the Sukuk Programme and, ultimately, on AIH or the state government to provide financial backing in the event of liquidity stress.

That said, Heliosel’s relationship with Air Selangor places the former in a captive market with readily available demand and over 70 estimated sites to expand its solar RE portfolio. Once the RE systems are operational, the Company will enjoy a predictable income stream, insulated from market dynamics and the uncertainty of securing new projects.


Analytical contacts
Joel Thum
(603) 2708 8232
joel@ram.com.my

Chong Van Nee, CFA
(603) 2708 8210
vannee@ram.com.my

Media contact
Sakinah Arifin
(603) 2708 8212
sakinah@ram.com.my