S&P Global Ratings affirmed its B+ long-term issuer credit rating and changed the outlook to positive from stable on China Aoyuan Group Ltd.

The B long-term issuer rating on the Chinese developer's outstanding senior unsecured notes was also affirmed.

The rating agency said the outlook revision is due to its expectation that China Aoyuan's leverage will continue on its downward trajectory in the next 12 to 24 months, thanks to its steady sales expansion with controlled debt growth. The change also takes into account expectations that the company's land acquisition will be carried out at a conservative fashion.

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