Sarawak Energy Secures International Credit Ratings from Moody’s of A3 (Stable Outlook) and S&P of A- (Negative Outlook)

8 JUNE 2022

Sarawak Energy has secured its first-time issuer credit ratings from two international credit rating agencies: Moody’s Investors Service or Moody’s, and S&P Global Ratings or S&P.

Moody’s has assigned an issuer credit rating of A3 (stable outlook); while S&P assigned an A- (negative outlook) issuer credit rating to Sarawak Energy, Malaysia’s largest renewable energy developer and Sarawak’s primary power utility. Sarawak Energy’s ratings and outlooks also mirror and equalise with the ratings of Sarawak.

Sarawak Energy Group Chief Executive Officer, Datu Haji Sharbini Suhaili said, “We are pleased to have secured these international credit ratings, which reflect Sarawak Energy’s strengths while benchmarking us with our regional peers. These ratings will further amplify our profile in regional and international markets, bringing greater transparency and growing investor confidence. This also builds our global track record and supports Sarawak Energy in our transformation journey from a traditional utility into a key regional hydropower developer with a vision to achieve sustainable growth and prosperity for Sarawak by meeting the Southeast Asia's need for reliable and renewable energy.”

Sarawak Energy’s investment grade ratings reflect its position as Sarawak’s primary electricity utility company, and its pivotal role in Sarawak’s economic development via the Sarawak Corridor of Renewable Energy or SCORE, good earnings profile supported by growing and long-term customer demand and competitive tariffs which are anchored by renewable hydropower. Wholly owned by the Sarawak government, Sarawak Energy also enjoys strong strategic ties to the state, evident through the support granted by the government over the years.

Sarawak Energy Chief Financial Officer, Alexander Chin said while commenting on the achievement, “We would like to thank our shareholders and all stakeholders in securing our investment grade international credit ratings. This will provide opportunities for us to tap into the international and sustainable financing market for our future funding requirements as Sarawak Energy continues to materialise its regional expansion plans as part of our aspiration to become a regional powerhouse.”

Sarawak Energy also has an existing RM15 billion Sukuk Musyarakah programme which is rated AAA/Stable by RAM Ratings Services Berhad, the leading and largest credit rating agency in Malaysia and South-East Asia (ASEAN).