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15.09.2006
uaB+ credit rating assigned to upcoming bond issue of Industrial company Farell, Ltd
Today independent rating agency Credit-Rating announced the granting of a long-term uaB+ credit rating to the scheduled registered interest-free (special purpose) bond issue (A-E series) by Production Company Farell Ltd (Kyiv) in the amount of UAH 43 million with a circulation period till 31.12.2008. The companys main activity is automobile transport lease and construction investment. PC Farell Ltd is currently managing construction of five residential houses in Kyiv, Boryspil, Zhytomyr and Kirovograd.
Factors supporting the credit ratings level:
- four of the five projects to be financed through the special purpose bond offering, are at the completion stage of construction;
- building owner of three of the five residential houses and general contractor of all construction projects is SOE Ukrvoenstroy of Ministry of Defence of Ukraine that has experience in construction management;
- the Issuer is involved in activity related to construction of accommodation facilities in Kyiv, Boryspil, Zhytomyr and Kirovograd, where the prices on this kind of facilities kept growing in the recent years.
Factors restricting the credit ratings level:
- lack of experience in realization of construction projects of residential houses and bond redemption by providing facilities to bondholders;
- undetermined and unstable system of legal regulation and taxation of operations with construction and in particular fundraising.
For more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
