S&P Global Ratings affirmed its long-term corporate credit rating on China Vanke Co. Ltd. at BBB+, Greater China regional scale rating on the company at cnA+, and revised the outlook to stable from negative.
The rating agency also affirmed the same ratings for China Vanke's wholly owned subsidiary Vanke HK, and revised its outlook to stable from negative.
The outlook revision was attributed to the reduced risk from the power tussle among the company's key stakeholders, with Shenzhen Metro Group becoming the largest and de facto controlling shareholder. The rating agency believes this will reduce uncertainties and potential damage to China Vanke's business and financial stability.
The agency expects that the company will maintain its competitive position, strategy, operations and financial discipline over the next 12 to 24 months.
S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.