S&P: Country Garden view to positive

S&P said it revised the outlook on Country Garden Holdings Co. Ltd. to positive from stable and affirmed its BB long-term corporate credit rating and BB senior unsecured note rating.

In line with the revised positive outlook, the agency changed the long-term Greater China regional scale rating on the company and the notes to cnBBB from cnBBB-.

S&P said the it revised the outlook to positive because it expects the company to continue to benefit from robust sales, particularly in lower-tier cities in 2017. This should allow Country Garden to materially expand its scale and solidify its market position.

At the same time, the company's leverage will likely improve after two years of deterioration, due to better operating cash flow and accelerated revenue growth, the agency added.

© 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.