Expert RA Kazakhstan assigned INNOVA INVESTMENT LLP B+' and reliability rating of planned bond issue 'B'

/IRBIS, January 6, 2012/ - The rating agency "Expert RA Kazakhstan" December 21, 2011 has assigned credit rating of "INNOVA INVESTMENT" LLP (hereinafter - Company) at the level of B+ (sufficient level of solvency) and the security rating of the planned bond issue at the level of B (satisfactory level of reliability), reported today Press Service of the "Expert RA Kazakhstan." It is reported that a positive impact on the rating of the Company had net working capital increase (from 2008 to 2nd quarter of 2011 grew by 879%), high levels of liquidity (at the end of 1H 2011 Cash ratio was 1.49, the current ratio - 3.22, acid-test ratio - 3.22) and decrease in accounts payable (from 2008 to 2nd quarter 2011 accounts payable decreased by 53.18%). "According to the Agency, the owners of company are ready to provide it with financial support in case of deterioration of its financial condition, has a positive effect on the ranking", - said the expert on non-financial sector rating agency "Expert RA Kazakhstan" Anna Akopyants. It is noted that the main factors limiting the rating of "INNOVA INVESTMENT" is a high level of leverage (the ratio of debt for the 2nd quarter 2011 total revenues in 2010 of 2.32), mismatch issue volume of business (the ratio of emissions to revenues for 2010 year is 14.2), reduction of equity capital (from 2008 to 2nd quarter 2011 net worth declined by 13.9%), and a reduction of assets (from 2008 to 2nd quarter 2011 assets decreased by 12%). Also among the constraints were noted low rates of business activity (up to 2010 Accounts receivable - 492 days in accounts receivable - 494 days), low profitability (ROA - 0,52%, ROE - 0,55%) and low diversification borrowed funds (the share of loan funds account for 77% of all obligations issued by a bank loan). The main activity of LLP "INNOVA INVESTMENT" - real estate operations (rent, sale), investment in real estate and securities, real estate services, consulting services. Net profit for 2010 amounted to KZT 148 million, assets - 28.6 billion tenge, shareholders' equity - 26.5 billion tenge. [2012-01-06]