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