Lianhe Ratings Global Limited (“Lianhe Global”) has assigned ‘BBB+’ global scale Long-term Issuer Credit Rating with Stable Outlook to Zhangzhou Transportation Development Group Co., Ltd.
The Issuer Credit Rating reflects a high possibility that the Zhangzhou Municipal People’s Government (“Zhangzhou government”) would provide strong support to Zhangzhou Transportation Development Group Co., Ltd. (“ZZT” or “the company”) if needed, in light of its 90% ownership of ZZT, ZZT’s strategic position as an important transportation infrastructure and assets operation entity in Zhangzhou City (“Zhangzhou”) and the strong linkage between the Zhangzhou government and ZZT including management supervision, strategic alignment, and ongoing operational and financial support. In addition, the Zhangzhou government may face significant negative impact on its reputation, business and financing activities should ZZT encounter any operational or financial difficulties.
The Stable Outlook reflects our expectation that ZZT’s strategic importance would remain intact while the Zhangzhou government will continue to ensure ZZT’s stable operation.