Fitch Ratings assigned Winsway Coking Coal Holdings Limited a Long Term Foreign-Currency Issuer Default Rating of BB with a Stable Outlook and a foreign-currency senior unsecured rating of BB.

The agency has also assigned an expected rating of 'BB' to Winsway's proposed senior unsecured notes. The proceeds will be used to purchase rolling stock, build railway-related infrastructure to increase transportation capacity and to finance investments in upstream coal resources.

The final rating of the proposed notes is contingent upon the receipt of final documents conforming to information already received.

Ms Ying Wang director in Fitch's Asia-Pacific corporates team said that "Winsway's ratings are supported by its unique business model and solid market position as a virtual monopoly in the transportation of Mongolian coal into China. The company's credit strengths are underpinned by its strategic logistics assets at Sino-Mongolian border crossings, strong relationships with China's railway authorities, as well as back-to-back inventory management.”

(Sourced from Reuters)