Lianhe Ratings Global Limited (“Lianhe Global”) has upgraded the global scale Long-term Issuer and Issuance Credit Rating of Jiangsu Huajing Assets Management Co., Ltd. (“JHAM”) to ‘BBB+’ from ‘BBB’; Issuer Rating Outlook is Stable.
Issuer Credit Rating upgrade reflects the increased strategic importance of JHAM in Jiangsu’s Jingjiang City (“Jingjiang”). The company continues to be the the most important local investment and development company (“LIDC”) directly under the People’s Government of Jingjiang (“the Jingjiang government”). JHAM has also set up an industry investment company in 2024, aiming to promote Jingjiang’s industrial upgrade and development.
We believe this continues to reflects a high possibility that the Jingjiang government would provide very strong support to JHAM if needed, in light of its direct full ownership of JHAM, JHAM’s strategic importance as the most important LIDC that is responsible for urban development and operation in Jingjiang and the strong linkage between the Jingjiang government and JHAM, including control of the board of directors, management supervision, strategic alignment, and ongoing operational and financial support. In addition, the Jingjiang government may face significant negative impact on its reputation and financing activities should JHAM encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that JHAM’s strategic importance would remain intact while the Jingjiang government will continue to ensure JHAM’s stable operation
Lianhe Global has also upgraded the global scale Long-term Issuance Credit Rating of the senior unsecured CNY Notes issued by JHAM to ‘BBB+’ at the same time. A full list of issuance rating is included in this report.