JCR-Eurasia Rating, assigned an investment grade credit rating of ‘BBB- (Trk)’ on the Long Term National Scale along with a ‘Positive’ outlook to Global Yatırım Holding A.Ş.
30 March 2011
JCR Eurasia Rating has assigned an investment grade credit rating of ‘BBB- (Trk)’ on the Long Term National Scale along with a ‘positive’ outlook to “Global Yatırım Holding A.Ş.”. JCR Eurasia has assessed the Long Term International Foreign Currency and Local Currency ratings as ‘BB’. Other notes and details of the ratings are given in the table below:
Long Term International Foreign Currency : BB / (Stable Outlook)
Long Term International Local Currency : BB / (Stable Outlook)
Long Term National Local Rating : BBB- (Trk) / (Positive Outlook)
Short Term International Foreign Currency : B / (Stable Outlook)
Short Term International Local Currency : B / (Stable Outlook)
Short Term National Local Rating : A-3+ (Trk) / (Stable Outlook)
Sponsor Support : 3
Stand Alone : BC
Global Yatırım Holding (GYH), supported by its current affiliates operating in the fields of energy, port management, real estate and finance and also by business and capital partnerships with local and international institutions, scaled up its assets significantly in the previous five years through a shifting process from finance to the real economy by its effective managerial structure.
Considering GYH’s focus on niche areas with imperfect competition through its functioning as a private equity and benefiting from first-mover advantages, the primal driver of its growth potential is medium and long-term concession rights attained in strategic areas. On the other hand, the maturity mismatch of involved projects in the process of investment depressed the indicators under headings such as profitability and cash flow below the reference values, JCR Eurasia is of the opinion that all of the performance indicators contain positive outlook in the medium and long term perspectives.
GYH’s business and capital partnerships with renowned institutions of international scale, diversity generated in project and income mix, Group’s experience marked by past performance of successfully finalized projects and expectation of continuance of its focus on niche areas are the salient factors that contribute to the risk perception of GYH in the eyes of its investors.
It is believed that the major shareholders within GYH’s shareholding structure have the willingness and propensity to provide long term liquidity and equity for the Holding when required. In this regard, the Sponsor Support grade of the Holding has been assessed in the “adequate level” category of (3) in JCR-ER’s notation system.
We, as JCR-ER, are of the opinion that the Holding and its affiliates has reached the level of adequate experience and facilities to manage the incurred on and off-balance sheet risks without any assistance from its shareholders provided that it maintains the processes regarding the preservation of the existing asset and liability composition and the ongoing projects. Within this context, the Stand Alone grade of the Holding has been assessed at an “adequate level” and determined as (BC) in JCR-ER’s notation system.
www.globalyatirim.com.tr
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http://ir.globalyatirim.com.tr/406/financials/credit-rating
