RAM Ratings has affirmed the AA3/Stable rating of reNIKOLA Solar Sdn Bhd's (the Issuer) RM390 mil ASEAN Green SRI Sukuk Programme (the Sukuk), reflecting the projected stable and steady debt coverages that are underpinned by strong energy output and consolidated cash flow from three solar photovoltaic plants (the Plants) with a combined capacity of 63.912 MWac, owned separately by sister companies of the Issuer (the project companies). The Plants benefit from favourable power purchase agreement terms with Tenaga Nasional Berhad (issues rated AAA/Stable by RAM), the sole offtaker.

Project Company	                     Commercial Operation Date	     Location	     Plant Capacity (Mwac)
RE Arau Sdn Bhd* (Arau)	                     Mar-18	              Perlis	            3.996
RE Gebeng Sdn Bhd (Gebeng)	             Jan-20	              Pahang	            29.916
RE Pekan Sdn Bhd (Pekan)	             Jun-21	              Pahang	            30.000
*Formerly known as SBU Power Sdn Bhd

The Plants achieved full availability for the third consecutive year in 2024, without any major disruptions, underscoring sound operations and maintenance (O&M) practices. Consolidated net energy output (NEO) reached 133,503 MWh, equivalent to 94.7% of the declared annual quantity and 7.9% above RAM's estimates. Outperformance was driven primarily by the Gebeng plant which delivered output 10.6% above expectations, while the Pekan plant continued to contribute over half of consolidated NEO. For 10M 2025, aggregate output exceeded seasonally prorated estimates by 5.9%, despite sub-optimal weather conditions in the first half of the year. We expect the Plant's energy output to remain stable for the remainder of 2025.

Following sukukholders' approval, O&M responsibilities were transitioned to reNIKOLA Management Sdn Bhd. The terms remained largely consistent but achieved lower annual operating expense of up to RM0.4 mil. Key personnel from the previous operator were retained to ensure