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08.08.2005
"uaCCC" credit rating assigned to upcoming bond issue of the LLC Megainveststroy
Credit Rating, an independent rating agency, on August 8 granted a
uaCCC long-term credit rating to the registered non-interest-bearing
(targeted) bonds (series A, B) to be issued by LLC Megainveststroy in the amount of UAH
63.732 million with a maturity term of 653 days. The company’s basic business is
raising funds for construction and sale of housing and commercial property.
Positive factors taken into account for rating purposes:
- a growing demand for new construction in Kharkiv, and the existing tendency for increasing value of apartments which are the subject of the issuer’s non-interest-bearing (targeted) bonds;
- available support, including financial, from one of the issuer’s founders, OJSC Megabank.
Negative factors taken into account for rating purposes:
- the issuer started its operations in the market only in 2005, which significantly impedes objective measurement of the quality and progress of the company’s development;
- the company’s lack of experience in raising funds for construction and sale of housing and commercial property;
- as of July 1, 2005, the issuer had not obtained all authorizations required for construction;
- inadequate regulation and volatility of the legislative and taxation system in Ukraine applicable to construction-related transactions, specifically those connected with funds raising;
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:
Elena Tertyshnik, Kyiv, at +38 (044) 490-25-50, 490-25-54,
ter@credit-rating.com.ua
