Moody's downgrades Country Garden to B1

Moody's Investors Service said it downgraded Country Garden Holdings Co. Ltd.'s corporate family rating and senior unsecured rating to B1 from Ba3.

"The downgrade reflects our expectation that Country Garden's credit metrics and liquidity buffer will weaken due to its declining contracted sales, still-constrained funding access and sizable maturing debt over the next 12-18 months," said Kaven Tsang, a Moody's senior vice president, in a press release.

The agency said it forecasts Country Garden’s contracted sales will decline to RMB 210 billion in 2023 and about RMB 180 billion in 2024 from RMB 357 billion in 2022 due to its high exposure to low-tier cities.

The outlook remains negative.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.