Moody's rates Swire Pacific note A3

Moody's Investors Service said it assigned an A3 rating to the proposed $240 million senior unsecured fixed-rate notes due 2016 to be issued by Swire Pacific MTN Financing Ltd., a wholly owned financing subsidiary of Hong Kong-based Swire Pacific Ltd.

The outlook is stable.

The proceeds will be used primarily for general corporate purposes.

The agency said the A3 rating reflects Swire Pacific's good quality property investment portfolio, which underpins its substantial recurring cash flow; its well-established and sector-diversified business portfolio, which supports stable cash flow; and its prudent business strategy and financial management practices.

The rating also reflects volatility in the aviation sector and Moody's view that the company's desire to actively seek further investments in China may, over time, expose its cash flow to increased volatility.

© 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.