Moody's reviews Lumena

Moody's Investors Service said it put on review for possible downgrade Lumena Resources Corp.'s B1 corporate family and senior unsecured bond ratings.

The review has been prompted by news that the company's controlling shareholder has pledged a stake of about 20.5% as security for a loan from Bank of China International, Moody's said.

The agency said it previously had concerns about Lumena's untested financial discipline and corporate governance due to its short track record as a listed entity. This recent transaction raises concerns about these issues, Moody's said.

The pledge of support adds a degree of uncertainty over the stability of Lumena's financial profile, the agency said.

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