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