S&P Global Ratings affirmed Oceanwide Holdings Co. Ltd.'s CCC+ long-term issuer credit rating and CCC long-term issue rating on its outstanding senior unsecured notes, with a negative outlook.
The rating agency said Sept. 30 that the negative outlook reflects the expectation that the Chinese property company's liquidity will remain tight as it faces 34 billion yuan worth of debt maturities in the next 12 months. Ratings added that the company will primarily rely on external refinancing and asset sales due to a lack of internal sources of funding.
The affirmation indicates the rating agency's views that Oceanwide will be able to dispose of a number of assets in the next three to six months to raise funds. The company, however, will face uncertainties and execution risk associated with the asset sales and external sources, the agency added.
As of Sept. 30, US$1 was equivalent to 7.15 yuan.
This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings, a separately managed division of S&P Global. Descriptions in this news article were not prepared by S&P Global Ratings. The original S&P Global Ratings documents referred to in this news brief can be found in the sources section.
