Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Credit Analyst, Lucror Analytics

Chuanyi Zhou

Credit Analyst

Credit

We view Logan Group as “Medium Risk” on the LARA scale, mainly due to its short track record as a listed company, aggressive growth strategy and weakening credit metrics. The company has built a strong presence in southern China. While Logan continues to focus on the Greater Bay Area (particularly Shenzhen), it has also been diversifying geographically, with projects in and outside Guangdong. The company's profitability has been sound in recent years, with the margins above industry averages. Moreover, Logan has a very large and relatively low-cost land bank, which could allow the company to reduce leverage by easing land acquisitions. Its land acquisitions in Hong Kong and Singapore were very costly, with the associated projects entailing execution risks. The company has increasingly relied on JVs for its expansion. Our fundamental Credit Bias on Logan is “Stable”, supported by the company’s robust contracted sales and stable margins, as well as its geographical focus on the Greater Bay Area. That said, we remain cautious on the company's rapid debt-funded expansion in H1/20. While Logan has a decent liquidity profile and access to funding, our major concern is with its aggressive financial policy. We view Logan as “Weak” on the LAGA scale. This is primarily due to controlling shareholder and NED Perenna Kei Hoi Ting's 77% ownership of the company. We cannot attest to the strength of the governance framework under such circumstances.

  We view Logan Group as “Medium Risk” on the LARA scale, mainly due to its short track record as a listed company, aggressive growth strategy and weakening credit metrics. The company has built a strong presence in southern China. While Logan continues to focus on the Greater Bay Area (particularly Shenzhen), it has also been diversifying geographically, with projects in and outside Guangdong.   The company's profitability has been sound in recent years, with the margins above industry averages. Moreover, Logan has a very large and relatively low-cost land bank, which could allow the company to reduce leverage by easing land acquisitions. Its land acquisitions in Hong Kong and Singapore were very costly, with the associated projects entailing execution risks. The company has increasingly relied on JVs for its expansion.   Our fundamental Credit Bias on Logan is “Stable”, supported by the company’s robust contracted sales and stable margins, as well as its geographical focus on the Greater Bay Area. That said, we remain cautious on the company's rapid debt-funded expansion in H1/20. While Logan has a decent liquidity profile and access to funding, our major concern is with its aggressive financial policy.   We view Logan as “Weak” on the LAGA scale. This is primarily due to controlling shareholder and NED Perenna Kei Hoi Ting's 77% ownership of the company. We cannot attest to the strength of the governance framework under such circumstances. 

Logan Group - Tear Sheet - Lucror Analytics

Redco Properties

Logan Group - Tear Sheet - Lucror Analytics