S&P revises Tingyi to stable

S&P said it revised the outlook on Tingyi (Cayman Islands) Holding Corp. to stable from negative and affirmed its BBB+ long-term corporate credit rating.

The agency also affirmed the BBB+ long-term issue rating on the company's senior unsecured notes. At the same time, it affirmed the cnA+ long-term Greater China regional scale rating on the company and the notes.

S&P said it revised the outlook because it believes an agreement between Tingyi and Asahi Group Holdings reduces the risks that Tingyi's financial ratios could materially deteriorate in the next 12 months.

The stable outlook reflects the agency’s view that the company's debt to EBITDA ratio should remain at about 1.5 times over the next 12 to 24 months, supported by strong operating cash flow, low capex and improving operating efficiency that could help stabilize margins despite intense competition.

© 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.