Moody’s acquires stake in MARC, strengthening presence in key ASEAN Market

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MOODY’S Corporation has announced that it has acquired a minority stake in Malaysian Rating Corporation Berhad, MARC, a credit rating agency serving the Malaysian domestic bond and sukuk markets. The investment strengthens Moody’s presence in Southeast Asia and across domestic bond markets globally, and advances its position as a leader in Islamic finance.

Based in Kuala Lumpur, MARC covers corporates and financial institutions, with key strengths in infrastructure and project finance. In addition to its rating services, MARC provides economic and fixed-income research, credit risk solutions, sustainability-linked offerings and finance-related online training programs.

“Malaysia’s robust domestic bond market presents an attractive opportunity for Moody’s, and we are excited to build upon our partnership with MARC and its growing portfolio of ratings and services,” said Wendy Cheong, Managing Director and Head of Moody’s Investors Service Asia Pacific.

The investment strengthens Moody’s presence in Malaysia, a key market within the Association of Southeast Asian Nations, ASEAN. Malaysia has the region’s largest domestic corporate bond market and has established itself as a global hub for Islamic finance, with the world’s largest sukuk market.

“MARC is a leader in the sukuk rating space, having rated the single largest corporate sukuk issuance and other noteworthy sukuk,” said Datuk Jamaludin Nasir, MARC’s Group Chief Executive Officer. “This strategic partnership with Moody’s deepens MARC’s commitment to the sustainable development of Malaysia’s capital markets.”

MARC was named the Best Islamic Rating Agency in the Global Islamic Finance Awards in six of the past seven years – in 2014, and each year from 2016 to 2020.

The investment complements Moody’s existing cross-border ratings and research coverage in Malaysia as well as its market outreach activities, including its annual Inside ASEAN conference and Islamic Finance Briefing held in Kuala Lumpur.

MARC will continue to operate as an independent entity and will remain separate from Moody’s Investors Service and its credit rating processes and activities.

The investment was funded with cash on hand and is not expected to have a material effect on Moody’s 2020 financial results.

Aug. 13, 2020 | 09:50

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