GCR places the ratings of Real People Investment Holdings Limited ‘Under Review’.
Johannesburg, 31 July 2017 — Global Credit Ratings (“GCR”) has placed the national scale ratings assigned to Real People Investment Holdings Limited (“Real People”, “the group”) of CCC(ZA) and C(ZA) in the long term and short respectively, ‘Under review’. While the ratings recently expired, GCR expects to publicly release the updated rating results by 31 October 2017.
The ‘Under review’ status of the ratings follow Real People’s initiation of capital/debt restructuring discussions with investors (resulting in a debt standstill until 31 August 2017). Furthermore, and related to the above, the FY17 audited financial statements have not been publicly released. GCR considers that the group’s weakened profitability, heightened funding/ liquidity risks and capital shortage result in uncertainty over its continued sustainability, which is a critical rating consideration. Consequently, the rating outcome will be significantly influenced by the outcome of the investor engagement currently underway.
Last rating (March 2017)
Long-term: CCC(ZA); Short term: C(ZA)
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