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