HONG KONG, 17 July 2024 – Lianhe Ratings Global Limited (“Lianhe Global”), an international credit rating company, has assigned ‘BBB-’ global scale Long-term Issuer Credit Rating to Langxi Kaichuang Group Holdings Co., Ltd. (“LKGH” or “the company”). The Outlook is Stable.
The Issuer Credit Rating reflects a high possibility that the People’s Government of Langxi County, Xuancheng City (“Langxi government”) would provide very strong support to LKGH if needed, in light of its full ownership of LK GH, LKGH’s strategic importance as an important local investment and development company (“LIDC”) that is responsible for project construction and state-owned asset operation in Langxi County (“Langxi”), Xuancheng City (“Xuancheng”), and the linkage between the Langxi government and LKGH, 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 Langxi government may face significant negative impact on its reputation and financing activities if LKGH encounters any operational and financial difficulties.
The Stable Outlook reflects our expectation that LKGH’s strategic importance would remain intact while the Langxi government will continue to ensure LKGH’s stable operation.