Fitch upgrades Hong Yang and Redsun

Fitch Ratings said it upgraded the long-term foreign-currency issuer default and senior unsecured ratings of Hong Yang Group Co. Ltd. and subsidiary Redsun Properties Group Ltd. to B+ from B. The RR4 recovery rating is unchanged.

“The upgrade reflects the group’s expanded contracted-sales scale, supported by its high-quality land bank and prudent financial policy, which has kept its leverage below 50%, a healthy level among B category peers. The group also has a higher recurring income arising from the larger scale of its property-rental business. The group’s improving business profile may be constrained by the pressure to build up its land bank to pursue sustained strong sales growth.

The outlook is stable.

© 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.