New World Development Receives “A” Ratings from the Credit Rating Agencies JCR and R&I
New World Development Company Limited (“NWD” or “the Group”, Hong Kong stock code: 00017) is pleased to announce that the Group has been awarded the inaugural “A” Issuer Rating with a stable outlook from both Japan Credit Rating Agency, Ltd. (“JCR”) and Rating & Investment Information Inc. (“R&I”).
Established in 1985, JCR is a Japanese rating agency registered with the Nationally Recognized Statistical Rating Organizations (NRSROs) in the United States, certified by the European Securities and Markets Authority (ESMA), and recognized by the Hong Kong Monetary Authority (HKMA).
JCR said, “The ratings reflect the creditworthiness of the group, with earnings base backed by the scale of its business and brand power, as well as its medium-term business strategy and financial policy.” JCR added, “Large-scale investment property projects are largely completed and expected to begin operations from FY2025, and are expected to further strengthen NWD’s earning power.”
Established in 1975, R&I is a Japanese rating agency recognized by the Hong Kong Monetary Authority (HKMA). R&I is the first rating agency in Japan and covers approximately 80% of public bonds issued by domestic issuers.
R&I said, “The rating is based on the recognition of the company’s strengths in the real-estate development and management. In Hong Kong, NWD has a vast agricultural land reserve of low book value in the suburban area, which makes it possible to replenish land bank at lower cost by making effective use of the Hong Kong government’s policy scheme that facilitates the conversion of agricultural land. In mainland China, NWD has strong competitiveness owing to its capability of land acquisition with favorable terms and conditions.”
The “A” rating and stable outlook from both JCR and R&I reflect the international rating agencies’ high recognition of the Group’s reputation, solid creditworthiness and prudent financial policies. They also serve as an acknowledgment of the Group’s strong earning base, positioning the Group to capitalise on long-term growth opportunities and drive sustainable development.