Fitch Ratings upgraded the Long-Term Foreign-Currency Issuer Default Rating (IDR) of Wanda Commercial Management and Wanda Hong Kong from C to CC. It also upgraded the rating of USD bonds issued by subsidiaries of Wanda Commercial Management and guaranteed by Wanda HK from C to CC.
The upgrade is based on the repayment of a coupon on the $400 million bonds due 2025 before the end of the grace period, Fitch said, adding that it still believed Wanda Commercial Management will continue to face liquidity pressure due to the uncertainty of its refinancing plans for several domestic and foreign bonds maturing in the next six months.
Wanda Commercial Management failed to make a timely coupon payment due July 20, 2023 on its $400 million bonds due 2025, but completed the payment on July 31 before the end of the grace period.
The company has confirmed that it had paid the coupon due July 31 on its $600 million bonds due 2024. In addition, the company said it has sufficient funds to pay the coupons due in the near future.