Lianhe Global rates CIFI Holdings first-time ‘BB+’; outlook stable

HONG KONG, 7 December 2018 – Lianhe Ratings Global Limited (“Lianhe Global”), an international credit rating company, has assigned a ‘BB+’ global scale Long-term Issuer Credit Rating to CIFI Holdings (Group) Co. Ltd. (“CIFI”). The Outlook is Stable.

The Issuer Rating reflects CIFI’s established market position, robust contracted sales growth, improving operating scale with a diversified property portfolio and a consistent track record of strong sales execution capability. However, CIFI’s rating is constrained by its increasing financial leverage and high percentage of contracted sales from joint venture (“JV”) contributions which lower its financial transparency.

The Stable Outlook reflects our expectation that CIFI would continuously maintain strong revenue growth and a stable profit margin while prudently managing leverage and controlling acquisition cost.