Correction: Lianhe Ratings Global Limited (“Lianhe Global”) publishes ‘BBB’ global scale Long-term Issuer Credit Rating of Jiangsu Zhongwu Urban Rural Investment Development Group Co., Ltd. (“JZURID” or “the company”) ; Outlook is Stable
This replaces the rating report published on 24 May 2023 to correct the name of the company to Jiangsu Zhongwu Urban Rural Investment Development Group Co., Ltd.
The Issuer Credit Rating reflects a high possibility that the Xinyi People’s Government (“the Xinyi government”) (authorized by Jiangsu Xuzhou government) would provide very strong support to JZURID if needed, in light of its full ownership of JZURID, JZURID’s strategic importance as an important local investment and development company (“LIDC”) responsible for land consolidation, infrastructure construction and affordable housing construction as well as state-owned asset operating in Xinyi City (“Xinyi”), and the linkage between the Xinyi government and JZURID, including the appointment of the senior management, strategic alignment, supervision of major financing plan and investment decisions and ongoing operational and financial support. In addition, the Xinyi government may face significant negative impact on its reputation and financing activities if JZURID encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that JZURID’s strategic importance would remain intact while the Xinyi government will continue to ensure JZURID’s stable operation.