RHB Investment Bank Bhd said that Mah Sing Group Bhd is one of the preferred complexes within the unrated space considering most of the rated issuers are fully valued within their respective ratings.
RHB says that it prefers established developers with proven track records, strong branding with diverse access to capital on the back of growing numbers of unrated property bonds in the MYR market.
It said that RHB prefers Mah Sing complex within the unrated space, considering most of the rated issuers are fully valued within their respective ratings.
The research house said that demand for residential property to improve with a focus on affordable housing as part of the Environmental, Social, and Governance (ESG) agenda
It said that the key credit selection criteria for the property sector are established property developers with proven track records, a healthy balance sheet with prudent capital management, and access to debt and equity markets with strong shareholders’ support.
On credit outlook, Mah Singh 6.90% MYR650mn callable ‘4/22 could be the template on what investors could expect at the perps call date
It said that the company has early redeemed MYR145million of the perps in November 2021 which we view as an indication that the notes will be called by April 2022.
