Fitch: Beijing Energy bonds A+

Fitch Ratings said it assigned a final rating of A+ to Beijing Energy Investment Holding Co., Ltd.’s €300 million 1˝% senior guaranteed bonds due 2018.

The final rating is the same as the expected rating assigned in June, Fitch said.

The bond will be issued by Beijing Energy Investment Holdings Ltd., a wholly owned offshore subsidiary of Beijing Energy Investment Holding (Hong Kong) Co. Ltd.

Beijing Energy Investment has granted keepwell, liquidity and equity-interest deeds to ensure the issuer has sufficient assets and liquidity to meet its obligations under the proposed offshore bond, the agency said.

The ratings are strongly linked to the Beijing municipality, Fitch added.

The municipality’s budgetary performance has been robust and has a strong and well-diversified socio-economic profile, the agency said.

The municipality also has a close relationship with the China sovereign due to the capital city status, Fitch added.

The company’s importance to Beijing stems from its leading role in operating the largest district heating network covering the central area of the city, including key government offices and foreign consulates, the agency said.

© 2015 Prospect News.
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