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03.08.2005
"uaB" credit rating assigned to upcoming bond issue of the LLC "Ukrsotsbud"
Credit Rating, an independent rating agency, announced on August 3 that it has granted a uaB long-term credit rating to the registered non-interest bearing bonds of A, B, and C series to be issued by LLC Ukrsotsstroy in the amount of UAH 8.399 million with a one-year maturity. The company’s basic business is raising funds for construction and sale of housing and commercial property. During its analysis, Credit-Rating relied upon information provided by LLC Ukrsotsstroy and its founder, JSCB UKRSOTSBANK, which holds a 99.9 percent stake in the issuer’s charter fund.
Positive factors taken into account for rating purposes:
- financial support to be provided, if necessary, by the issuer’s founder, JSCB UKRSOTSBANK (a 99.9 percent stake in the issuer’s charter fund), as one of the country’s prime banks, according to the National Bank of Ukraine classification.
Negative factors taken into account for rating purposes:
- the issuer was registered in June, 2005 and has no expertise in housing construction and sale or public raising of funds for further project financing;
- inadequate regulation and volatility of the legislative and taxation system in Ukraine applicable to construction-related transactions, specifically those connected with fund raising;
- the social/economic development of Kirovograd as the city in which the issuer is carrying out its project is poorer than other big provincial centers of Ukraine; specifically community income is lower than the average of Ukraine, and the ecological situation in the region is rather complicated.
Information on all credit ratings granted according to the Ukrainian national rating
scale may be found on the internet site maintained by Credit-Rating:
www.credit-rating.com.ua
For more details please contact:
Dmitry Zadesenets, Kyiv at +38 (044) 490-25-50, 490-25-54,
cr@credit-rating.com.ua
