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