Moody's rates Agile Property bonds Ba3

Moody's Investors Service said it assigned a prospective Ba3 local-currency corporate family rating to China-based Agile Property Holdings Ltd. and a prospective Ba3 foreign-currency senior unsecured rating to its proposed $350 million bond issue.

The outlook is stable.

The agency said the ratings reflect Agile's established position in the Pearl River Delta region - particularly Zhongshan and Guangzhou, which have exhibited stable growth in past years - and the company's long operating track record and strong brand equity in developing quality mid-to-high-end residential properties in these markets, which accounted for over 95% of revenue in the first half of the year.

The ratings also reflect the business and financial risks associated with Agile's expansion against the backdrop of an evolving operating environment. While long-term prospects for housing demand in China are positive, regulatory measures to contain overheating in the property market will dampen sentiment in the near term, , Moody's said, translating into uncertainty for sales and thereby affecting operating cash flow.

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