Fitch: Guangzhou R&F unchanged on tap issue

Fitch Ratings said Guangzhou R&F Properties Co. Ltd.'s issuance of an additional $200 million of its $600 million 7% senior notes due 2021 will not affect the BB- rating on the company's bond.

The tap was issued via Guangzhou R&F's subsidiary Easy Tactic Ltd. and carries the same terms and conditions as the existing notes, Fitch said.

The issue is rated at the same level as Guangzhou R&F's senior unsecured rating as they constitute direct and senior unsecured obligations of the company, the agency said.

The ratings are constrained by the company's high leverage of 60.2% at year-end 2017 and an expectation that it will likely climb to about 65% in the next year or two, Fitch said.

The negative outlook reflects the limited headroom for leverage, the agency said.

© 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.