Our credit view of Swire Pacific Limited reflects the strong business profile of its beverage business, constrained by its increasing exposure to mainland China.
Our credit view of Swire Properties Limited reflects its status as a strong franchise in property development and management, constrained by rising capital spending and financial leverage.
Our credit view of Swire Pacific reflects its prudent management and long operational history, and its stable cash flow, against its exposure to mainland China, which entails business risks.
We estimate the acquisition will raise net debt of both entities by around HKD8 billion but bring annual residential sales and attributable rentals of around HKD1 billion.
Our credit view of Swire Pacific reflects its prudent management and long track record, against its exposure to mainland China, which entails business risks.
Our credit view of Swire Properties reflects its status as a strong franchise in property development and management, against a slow recovery in Hong Kong rental income.
We estimate the acquisition would raise net debt of both entities by around HKD6 billion to HKD7.0 billion but will bring annual consolidated earnings of around HKD1.0 billion.
Our credit view of Swire Properties reflects its strong property development and management franchise, constrained by the coronavirus pandemic-led disruptions.
Our credit view of Swire Pacific Limited reflects its prudent management and long track record, against its exposure to mainland China, which entails business risks.
While business expansion through the proposed acquisition is credit positive, we expect leverage to increase, but it can be absorbed at the company's A3 rating level.
Our credit view of Swire Pacific reflects its stable cash flow, against its exposure to mainland China, which entails business risks, and its moderate profitability in these businesses.
Our credit view of Swire Properties reflects its sufficient financial buffer, offset by its capital requirements and execution risks associated with the company's expansion.