Fitch rates Sunshine 100 notes B-

Fitch Ratings said it assigned a final rating of B- to Sunshine 100 China Holdings Ltd.’s $115 million 12¾% senior unsecured notes due 2017 with a recovery rating of RR4.

The assignment of the final rating follows the receipt of documents conforming to information already received and the final rating is in line with the expected rating assigned in July, Fitch said.

The notes are rated at the same level as the company’s senior unsecured rating as they represent direct, unconditional, unsecured and unsubordinated obligations, the agency said.

The ratings are supported by its adequate land bank, low land bank cost and improving land bank values in second- and third-tier cities after years of city development, Fitch said.

The ratings are constrained by its high leverage level, low turnover rate, tight liquidity and higher volatility in commercial property strata-title sales, the agency said.

The ratings also are constrained by the company’s slow inventory turnover, Fitch added.

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