Lianhe Ratings Global Limited (“Lianhe Global”) has assigned ‘BBB’ global scale Long-term Issuer Credit Rating with Stable Outlook to Hubei Edong Urban-Rural Integration Industrial Investment Group Co., Ltd. (“HEURI” or “the company”)
The Issuer Credit Rating reflects a high possibility that the People’s Government of Daye City, (“Daye government”) would provide strong support to HEURI if needed, in light of its indirect full ownership of HEURI, HEURI’s strategic importance as an important local investment and development company (“LIDC”) for rural revitalization and industrialization in Daye City (“Daye”), and the linkage between the Daye government and HEURI, including appointment and supervision of the senior management, strategic alignment, major investment and financing plan decisions and ongoing government support, etc. In addition, the Daye government may face significant negative impact on its reputation and financing activities if HEURI encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that HEURI’s strategic importance would remain intact while the Daye government will continue to ensure HEURI’s stable operation.