CTOS has entered into a share purchase agreement with Deutsche Bank and Dragonline to acquire 80,000 and 1,565,000 ordinary shares in RAM representing 0.8% and 15.65% for a cash purchase consideration of RM2.2million and RM44.6 million respectively.
Upon completion of the acquisition, CTOS will achieve a majority shareholding in RAM increasing from 39.13% to 55.58%. The aim is then to leverage each company’s expertise in credit assessment, data, and analytics to further extend their product offering and value proposition to their existing customer base pricing and valuation data.
RAM was incorporated in 1990 as a catalyst for the domestic debt-capital market and as the nation’s first credit rating agency. The research house is the pioneer in the provision of credit-rating services for the Malaysian capital market and plays a leading role in providing crucial and independent credit opinions that are needed by investors and other market
participants to assist in their investment and financial decisions. RAM’s rating portfolio encompasses a vast range of local and foreign corporates, multinationals, banks, insurance companies, government-linked, and other public-financed entities.
In the financial year 2021 (“FY2021”), RAM generated revenue of RM48.7 million and profit after tax of RM14.2 million. RAM has total assets of RM206.2 million and net assets of RM176.4 million.
Dragonline’s main shareholder is Tunku Ali Redhauddin Ibni Tuanku Muhriz, he is the Chairman at Bumi Armada and is the eldest son of the reigning Yang di-Pertuan Besar of Negeri Sembilan.
