Zhongliang Holdings Group Company Limited (Initial Issuer Report)

The Issuer Rating reflects Zhongliang Holdings Group Company Limited’s (“Zhongliang” or “the company”) established market position and a nationwide footprint in lower-tier cities of the Yangtze River Delta Region. Zhongliang’s rating is constrained by its elevated financial leverage as a result of its debt-funded expansion in the prior years.

The Stable Outlook reflects our expectation that Zhongliang would expand its operating scale in a prudent manner especially regarding land acquisitions, while continuing maintaining its stable growth.