Lianhe Ratings Global Limited (“Lianhe Global”) has affirmed ‘BBB+’ global scale Long-term Issuer Credit Rating of Foshan Nanhai Lianda Investment (Holding) Co., Ltd. (“FNLI”); Issuer Rating Outlook is Stable.
The Issuer Credit Rating reflects a high possibility that the Nanhai District People’s government of Foshan (“the Nanhai District government”) would provide very strong support to FNLI if needed, in light of its 90.14% ownership of FNLI, FNLI’s strategic importance as an important local investment and development company (“LIDC”) that is responsible for urban development and state-owned assets operation in Nanhai District, and the strong linkage between the Nanhai District government and FNLI, including management supervision, strategic alignment, and ongoing operational and financial support. In addition, the Nanhai District government may face significant negative impact on its reputation and financing activities should FNLI encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that FNLI’s strategic importance would remain intact while the Nanhai District government will continue to ensure FNLI’s stable operation.