Fitch affirms Evergrande

Fitch Ratings said it affirmed Evergrande Real Estate Group Ltd.'s long-term foreign-currency issuer default rating at BB, along with its foreign-currency senior unsecured rating at BB.

The outlook is stable.

The affirmations reflect Evergrande's position as one of China's largest property developers with geographical diversification, Fitch said.

The ratings also consider its ability to continue to deliver and meet its sales targets in second- and third-tier cities, backed by a flexible pricing strategy and low-cost land bank, the agency said.

These strengths are countered by its aggressive expansion and by the fact that it is being controlled by a single shareholder, Fitch said.

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