1MDB reiterates that its liquidity position is strong

1MDB has reiterated that its liquidity position is strong and the company remains focused on the successful execution of its rationalisation plan.

In a statement, it said that Moodys Investor Services' withdrawal of its rating on the 5.99 per cent US$1.75 billion senior unsecured notes issued by 1MDB Energy Ltd (Energy Notes), was undertaken without a downgrade in Moodys "Aa2" credit rating for the Energy Notes.

1MDB also stated that the Energy Notes continue to benefit from a "AA" rating from Standard and Poor's.

It was reported that Moodys withdrawal of the rating on the 5.99 per cent US$1.75 billion debt was "for its own business reasons".

"The Moodys 'Aa2' credit-rating for the Energy notes remain valid up to the point of rating withdrawal, that is, the withdrawal was done with no downgrade of the credit rating," 1MDB said

It also said that as per the Moodys "Policy for Withdrawal of Credit Ratings" document, when it indicates that a credit rating was withdrawn for "business reasons," this refers to its business reasons, and not that of the rated entity or obligor.

"Moody's business reasons generally do not reflect any concerns about the rated entitys creditworthiness or the quality of its management,"1MDB added.