Fitch rates Xinggang bonds BBB

Fitch Ratings said it assigned a BBB rating to Zhengzhou Airport Economy Zone Xinggang Investment Group Co., Ltd.'s (XIG) planned U.S. dollar senior unsecured bonds. XIG will sell the notes.

“Fitch assesses XIG under our government-related entities rating criteria, reflecting the government's majority ownership and oversight of the company, the government's strong support record and the role the issuer plays in the district's infrastructure development. These factors indicate a strong incentive by the government to provide extraordinary support to XIG, if needed,” the agency said in a press release.

Proceeds will be used to develop the group's onshore projects and for working capital purposes.

The outlook is stable.

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