Moody's: Swire unchanged

Moody's Investors Service said it sees no impact on the A3 issuer and senior unsecured ratings of Swire Pacific Ltd. and the Baa1 subordinated debt ratings of Swire Pacific Capital Ltd. following news that Swire is considering a separate listing of its property division.

This listing would be achieved through the introduction of 17% of shares in Swire Properties Ltd.; of which 10% would be received by the existing public shareholders of Swire Pacific and the balance by John Swire & Sons Ltd, the controlling shareholder of the conglomerate, Moody's said.

Post listing , Swire is expected to maintain a shareholding of more than 80% in this key subsidiary, the agency said.

The listing of Swire Properties could provide a channel for equity funding in addition to the proceeds from the disposal of Festival Walk for funding Swire's Chinese property projects, Moody's said.

Swire has a diversified business mix, which includes property, aviation, beverages, marine services and trading and industrial operations, the agency said.

As such, its consolidated operating profile will not be materially affected by Swire Properties' listing, Moody's said.

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