Lianhe Ratings Global Limited (“Lianhe Global”) has assigned ‘BBB+’ global scale Long-term Issuer Credit Rating with Stable Outlook to Chengdu Dongfangguangyi Investment Co., Ltd. (“CDI” or “the company”)
The Issuer Credit Rating reflects a high possibility that the People’s Government of Chenghua District, Chengdu City (“Chenghua government”) would provide strong support to CDI if needed, in light of its indirect majority ownership of CDI, CDI’s strategic importance as an important local investment and development company (“LIDC”) responsible for regional development and state-owned asset operation in Chenghua, and the linkage between the Chenghua government and CDI, including appointment of the senior management, strategic alignment, supervision of major investment and financing plans and ongoing operational and financial support. In addition, the Chenghua government may face significant negative impact on its reputation and financing activities if CDI encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that CDI’s strategic importance would remain intact while the Chenghua government will continue to ensure CDI’s stable operation.