Chengdu Wenjiang Xingrongxi City Operation Group Co., Ltd. (Surveillance Report)

Lianhe Ratings Global Limited (“Lianhe Global”) has affirmed ‘BBB-’ global scale Long-term Issuer Credit Rating of Chengdu Wenjiang Xingrongxi City Operation Group Co., Ltd. (“WXCO”); Issuer Rating Outlook Stable.

The Issuer Credit Rating reflects a high possibility that the Wenjiang District People’s Government of Chengdu (“Wenjiang government”) would provide strong support to WXCO if needed, in light of its 100% ownership of WXCO, WXCO’s strategic position as the major development and operation entity of the Wenjiang District in Chengdu City and the strong linkage between the Wenjiang government and WXCO, including management supervision, strategic alignment, and ongoing operational and financial support. In addition, the Wenjiang government may face significant negative impact on its reputation and business and financing activities should WXCO encounter any operational or financial difficulties.

The Stable Outlook reflects our expectation that WXCO strategic importance would remain intact while the Wenjiang government will continue to ensure WXCO’s stable operation.