Moody's rates China Chengtong, bond Baa1

Moody's Investors Service said it assigned Baa1 local-currency and foreign-currency long-term issuer ratings to China Chengtong Hong Kong Co. Ltd. (Ccthk). The agency also gave a Baa1 rating to the planned backed senior unsecured bond to be issued by Ccthk 2021 Ltd.

The dollar-denominated bond will be guaranteed by Ccthk and supported by a keepwell deed from China Chengtong Holdings Group Ltd. (CCT Group).

“The Baa1 issuer rating incorporates Ccthk's ba2 assigned stand-alone assessment, and four notches of support uplift from its parent, CCT Group, and indirectly from the government of China (A1 stable) based on Moody's very high dependence and very high support assumptions.,” Moody’s said in a press release.

Ccthk plans to use the proceeds to repay indebtedness and for general corporate purposes.

The outlooks on Ccthk and Ccthk 2021 Ltd. are stable.

© 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.