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