S&P Global Ratings has placed a BBB+ long-term issue rating on Pioneer Reward's proposed Chinese yuan senior unsecured notes, according to a Monday release.
Huatai Securities (HKG:6886, SHA:601688), which fully owns the special purpose financing company, will guarantee the instruments.
The notes' rating is similar to Huatai Securities' issuer credit rating, stemming from the guarantee's irrevocable, unconditional, and timely nature, S&P said.
The rating agency expects Huatai Securities to keep its very strong capitalization, healthy risk management, solid market position and client coverage, and manageable funding and liquidity profile over the next one to two years.
S&P also expects a moderately high potential of extraordinary support from the Jiangsu provincial government in case of stress.
