Gillian Yeo, Nandini Vijayaraghavan
ABCC at Nanyang Tech University (NTU178-PDF-ENG)
March 09, 2018
Malaysia-based Genting Berhad has obtained the highest credit rating among global gambling companies. This remarkable gaming-focused conglomerate followed a unique strategy in 1965 to develop a portfolio of integrated resorts that generate stable and recurring cash flows. That strategy consisted of establishing flagship IRs in regulated markets like Malaysia (where Genting is a monopoly) and Singapore (where the company operates in a duopoly market) before diversifying into competitive markets like the US and the UK, a net cash position despite being in a cyclical and capital intensive industry. Using Genting Berhad as an example, this case study describes the concepts of credit ratings in general, corporate credit ratings in particular, and industry-specific credit rating methods. The case study challenges users to take a systematic approach to fundamental and counterparty analysis by assessing the impact of macroeconomics, the industry environment, and specific company characteristics when evaluating the debt service capacity of a company.
We don‘t have the case solution, but we pay up to $50 for yours!
- Set a reminder to receive an email after your university‘s case study deadline.
- Upload your case study solution. We will review it for quality.
- Get your money via PayPal or to your bank account.