Moody’s changes Future Land view

Moody's Investors Service said it confirmed the following ratings Future Land Development Holdings Ltd.'s Ba2 corporate family rating and Ba3 senior unsecured rating, Seazen Holdings Co., Ltd.'s Ba2 corporate family rating, and the Ba2 backed senior unsecured rating for the bonds issued by New Metro Global Ltd. and guaranteed by Seazen.

Seazen is a 67.1%-owned subsidiary of Future Land Development.

The two companies are collectively referred to as the Future Land Group.

Moody's changed the outlooks for all the issuers to negative from rating under review.

“The ratings confirmation reflects our view that Future Land Group's good contracted sales growth and liquidity profile will provide it with certain financial buffers for the risks associated with the criminal allegations against Mr. Wang Zhenhua, the largest shareholder and former chairman of the Future Land Group,” Kaven Tsang, Moody's senior vice president, said in a news release.

“However, the negative outlooks reflect the risks associated with a change of control or deterioration in the group's operations and funding access, if there is further negative news on Mr. Wang's court case.”

© 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.