S&P lowers Oceanwide debt

S&P said it removed the senior unsecured issue-level ratings for Oceanwide Holdings Co. Ltd. from under criteria observation and lowered its guaranteed senior unsecured debt to CCC+ from B-.

The agency said the action stems solely from the application of its revised issue rating criteria and does not reflect any change in the assessment of the corporate credit rating.

S&P said the CCC+ rating is one notch below the corporate credit rating because secured debt comprises more than 50% of the company's total consolidated debt.

The agency said unsecured debt guaranteed by Oceanwide Holdings is inherently disadvantaged because the secured lenders and subsidiary lenders have priority over the unsecured lenders at the holding company level.

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