...- CapitaLand Mall Trust (CMT) plans to merge with CapitaLand Commercial Trust (CCT) such that it will fully own CCT and RCS Trust upon completion of the transaction. - We believe this partly debt-funded transaction will weaken CMT's cash flow adequacy and leverage ratios, with potential negative implications on RCS Trust. On the other hand, it could strengthen the credit quality of CCT because the trust would be fully owned by CMT, a parent with a stronger credit profile. - On Jan. 24, 2020, S&P Global Ratings placed its 'A-' long-term issuer credit rating on RCS Trust and the issue rating on the company's senior unsecured notes on CreditWatch with negative implications. At the same time, we placed our '###+' long-term issuer credit rating on CCT and issue rating on the senior unsecured notes that the company guarantees on CreditWatch with positive implications. - We plan to resolve the CreditWatch placements at or before the close of the transaction, which we expect will occur by end June...
