CREIT maintains top credit rating

Local debt watcher Philippine Rating Services Corp. (PhilRatings) has maintained its credit ratings of PRS Aa and stable outlook for Citicore Energy REIT Corp. (CREIT), according to a report by BusinessMirror.

PhilRatings also maintained an issue rating of PRS Aa and a stable outlook for CREIT’s P4.5-billion Asean green bonds.

“CREIT is well-positioned to benefit from the country’s growing renewable energy needs with its unique and fully occupied portfolio of green assets,” PhilRatings said, adding that  the assigned issue ratings took into consideration CREIT’s sound financial position and strong profitability and liquidity.

The company’s oversubscribed outstanding Asean green bonds were issued in February 2023. Proceeds were used to acquire properties to support its green asset portfolio to its current 7.1 million square meters, cementing its status as the country’s largest renewable energy landlord.

“Sustaining the PRS Aa credit rating from PhilRatings, for both the company as an issuer and the company’s maiden Asean Green Bond, is a testament to the company’s strong financial position and profitability as the foremost energy REIT [real estate investment trust] in the Philippines, delivering superior yields from its green asset portfolio.

We intend to continue as a platform that empowers investments, ensuring that our debt instruments are trusted by creditors and investors,” said CREIT President and CEO Oliver Tan.

Also, the continued issuance of strong ratings reflects the agency’s confidence in CREIT’s unique business model. A 100 percent occupancy leased out to solar operators and developers and operating in a crisis-proof industry has allowed CREIT to consistently declare above-prescribed dividends since its listing in the stock market in February 2022.

CREIT’s current land parcels form part of the expansion pipeline of its sponsor, Citicore Renewable Energy Corp., with its five gigawatts in five years goal in full speed.