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25.07.2006
uaB+ credit rating assigned to upcoming bond issue of "MJK Internationalist", Ltd
Today independent rating agency Credit-Rating announced the granting of a long-term uaB+ credit rating to the registered interest-free (special purpose) bond issue (A-D series) by OJSC Youth Accommodation Complex Internationalist (Kharkiv region) in the amount of UAH 10.3 million with a circulation period of 1.5 years. The companys main activity is management of design, construction, assembly, finishing and repair works. OJSC YAC Internationalist is currently constructing two residential buildings in Kharkiv region.
Factors supporting the credit rating's level:
- experience in construction works and realization of construction projects of residential houses (about 100 thousand sq.m. of living area were put into operation over the past 10 years);
- growing demand for accommodation facilities in new buildings in Kharkiv in the recent years and the tendency to increase their cost;
- all licensing documents available for construction of the residential building to be financed through the bond offering.
Factors restricting the credit rating's level:
- lack of experience in bond redemption by providing bond holders with facilities;
- the Issuers authorized fund UAH 40.8 thousand makes up only 0.4% of the total balance;
- as of 22.06.2006 the construction of the facility is at the beginning stage;
- unavailable and non-transparent information on the Issuers activity;
- undetermined and unstable system of legal regulation and taxation of operations with construction and fund-raising.
For more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
